Kuehne+Nagel looks to bolster its road logistics capabilities in the region as the forwarder entered into an agreement to acquire Malaysia-based City Zone Express, a subsidiary of SGX mainboard-listed company Chasen Holdings Ltd 

The move is expected to strengthen the forwarder’s cross=border road network across Southeast Asia, as the region continues to grow as a manufacturing hub for the high-tech and e-commerce industries. 

Established in 2006, City Zone Express has over 500 employees and operates in Malaysia, Singapore, Vietnam, Thailand, and China. It has its own fleet of 260 vehicles and 80,000 square metres of warehousing space, offering cross-border logistics services within Southeast Asia up to China. 

Completion of the transaction is expected within the coming months, with the acquisition subject to approval from applicable regulatory authorities and Chasen Holdings’ shareholders, Kuehne+Nagel noted in a statement.