Kühne+Nagel Plans Acquisition of City Zone Express

Kühne+Nagel has reached an agreement to acquire City Zone Express, a subsidiary of Chasen Holdings Ltd., which is listed on the Singapore Exchange (SGX) Mainboard. City Zone Express is headquartered in Malaysia and was founded in 2006. The company employs over 500 staff and operates in Malaysia, Singapore, Vietnam, Thailand, and China. The acquisition of City Zone Express is immediately earnings-enhancing and will strategically expand Kühne+Nagel’s offerings in cross-border land transport in Asia.

(Schindellegi) With its own fleet of 260 vehicles and a warehouse space of 80,000 square meters, City Zone Express provides cross-border logistics services in Southeast Asia and as far as China. Combined with Kühne+Nagel’s network and logistics expertise, as well as the online platform eTrucknow, customers from emerging sectors such as e-commerce, semiconductors, and high-tech will particularly benefit from an expanded offering.

Dr. Hansjörg Rodi, member of the management board of Kühne+Nagel International AG, responsible for land transport: “In line with our Roadmap 2026, the growth markets of Asia offer an attractive opportunity to further develop our land transport services. With City Zone Express, we are acquiring a renowned regional company whose network and capabilities complement our own potential. This allows us to better support our customers with tailored land transport solutions in complex cross-border markets.”

Growing Demand for Land Transport Solutions in Southeast Asia

S. Pirithivaraj A/L Selvarajoo, founder of City Zone Express: “We are very pleased to become part of the Kühne+Nagel group, an industry leader in air and sea freight and a renowned provider in land transport. With our combined presence, we can better meet the growing demand for land transport solutions in Southeast Asia – a region known as an important production center for critical industries such as high-tech, semiconductors, and e-commerce.”

Subject to Approval by Regulatory Authorities

The completion of the transaction is expected in the coming months. The acquisition is subject to the approval of the relevant regulatory authorities and the shareholders of Chasen Holdings.

Photo: © Kühne+Nagel