Business and Economy
Chelsea Logistics acquires cargo, shipping firms
“WSI will augment our logistics and manpower businesses, as well as create additional synergy within the group,” said CLC President and Chief Executive Officer Chryss Alfonsus Damuy. (Photo: Chelsea Logistics Holdings Corp.)
MANILA — Publicly-listed Chelsea Logistics Holdings Corp. (CLC) has acquired cargo and shipping firms to boost its businesses.
old the local bourse it bought on Wednesday 100 percent of the issued and outstanding shares of Worklink Services, Inc. (WSI), a freight forwarder established to provide courier, forwarding, trucking, and logistics services to the domestic industry.
“WSI will augment our logistics and manpower businesses, as well as create additional synergy within the group,” said CLC President and Chief Executive Officer Chryss Alfonsus Damuy.
CLC also successfully closed the acquisition of Starlite Ferries on Thursday, after the Philippine Competition Commission (PCC) ruled that the transaction “does not result in a substantial lessening of competition in the relevant market.”
“Our acquisition of Starlite Ferries ultimately redounds to the benefit of Filipino consumers. The newest addition to the group expands our capacity to provide improved transport solutions and reach more islands,” Damuy said.
Starlite Ferries brings into CLC a 14-member fleet, of which five are roll-on/roll-off vessels acquired brand-new in 2016 and 2017. The currently operational ships service the ports of Batangas, Calapan, Puerto Galera, Odiongan, Roxas, and Caticlan.
Prior to the acquisition of Starlite Ferries, the company only had 11 tankers, nine tugboats, seven roll-on/ roll-off vessels with passenger accommodation (RoPax), four barges, and four cargo ships. 2GO Group, Inc. meanwhile, had 16 RoPax and eight cargo vessels.
Of the fresh capital raised from its initial public offering, CLC has earmarked PHP1.78 billion for fleet expansion; PHP245 million for purchase and/or upgrade of ports, port facilities, containers, machineries, and equipment; PHP3.20 billion for the acquisition of other shipping and logistics firms; and PHP278 million for general corporate purposes.
“Chelsea Logistics is keen to play an active role in keeping the Philippines on the move to greater heights by providing better and bigger shipping and logistics support to infrastructure development projects and transportation to tourist destinations, among others,” Damuy said.
