Wilh. Wilhelmsen ASA: WWASA expands logistics activities through joint venture Wallenius Wilhelmsen Logistics
WWASA's joint venture Wallenius Wilhelmsen Logistics aims at offering global car and ro-ro customers high quality ocean transportation and integrated logistics services from factory to dealer.
"Acquiring strategically important logistics infrastructure is important to further strengthen our position in the car and high and heavy market," says Jan Eyvin Wang, president and CEO of WWASA.
To increase its land-based logistics footprint, WWL has bought out its partner in two entities:
1)Americas (VSA), currently a joint venture (50/50) between the two companies. The company employs 3 400 employees and handles some 4.7 million units annually. With full ownership, WWL confirms its position as a leading provider of vehicle processing for automotive manufacturers in North America. 2)An agreement with Groupe CAT to acquire its 50% shares in CAT-WWL, a joint venture network of ten vehicle-processing facilities based in South Africa. With full ownership, WWL becomes one of the top independent providers of vehicle processing services to support automotive manufacturers in South Africa. The business employs more than 950 workers and handles some 680 000 units.
In addition, WWL has sold Vehicle Services Europe (VSE) to Groupe CAT. The company employs some 400 employees with truck based inland distribution in Europe and three vehicle processing centres in Germany.
The total value of the transactions for WWL exceeds USD 200 million.
"The two investments position Wallenius Wilhelmsen Logistics as a leading provider of vehicle processing for automotive manufacturers. Based on current activity level and a 50% ownership in WWL, we expect the new entities to contribute with approximately USD 10 million to WWASA's operating profit," says Wang.