Tuesday, October 13, 2009

Toll Holdings Continue Aggressive Logistics Expansion

Purchase of Japanese Freight Company breaks new ground
Shipping News Feature

AUSTRALIA / JAPAN – Australian freight giant Toll Holdings Ltd is to assume control of Japanese logistics firm Footwork Express, subject to regulatory approval. Toll currently controls 36 percent of Footwork and will pay around A$95 million for the purchase.

The move follows on from a number of similar acquisitions (1,2) in the last few months and is a solid indication that Toll's stated strategy to pursue a high growth plan with expansion into fresh markets is back on track after some setbacks.

In Footwork Express, a major player in Japan with over five thousand staff and a turnover estimated at $775 million, those plans seem to have taken a major step.

In a statement Toll Group’s MD, Paul Little, said “This acquisition is not only an important expansion of Toll’s express freight operation; it is also a significant investment by an Australian company in the Japanese freight and logistics market.

“Japan has the largest economy in Asia and the second largest in the world and this acquisition gives Toll a very significant presence in this key market.”