Australian logistics company Qube Holdings has acquired bulk logistics company Kalari Proprietary Limited.
In what is the latest significant takeover to occur in the Australian road transport market, Qube bought resource industry specialist Kalari outright from Swire Investments.
The move is expected to enhance Qube’s existing and already consequential resource logistics offering and deepen its exposure in Australia.
Kalari specialises in on-road and remote bulk haulage predominately across Queensland and South Australia, with operations also in Victoria where its head office is based.
It boasts a large fleet of heavy vehicles and is considered a leader in the echelon of upper mass road movements through the use of high productivity vehicles of which it runs over 70 units.
Qube also announced it had taken a 50 per cent stake in Wellington-based Pinnacle Corporation.
The acquisition will allow the company exposure to the New Zealand container logistics market for the first time, with longer-term organic growth opportunities a possibility, the company said.
Pinnacle Corporation operates both port-based and stand-alone facilities in nine locations throughout New Zealand and employees about 300 people. It provides a range of services, including container storage and handling, refrigerated container maintenance and repair, container transport and warehousing.
The dual purchase of Pinnacle and Kalari is worth $145 million.
Qube Managing Director, Paul Digney, said the joint venture is consistent with Qube’s strategy for growth and geographic diversification within the company’s core strategic focus.
“This joint venture is consistent with our strategy for growth and geographic diversification within Qube’s core strategic focus, and builds on Qube’s existing port logistics presence throughout New Zealand, under the ISO brand,” he said.
Pinnacle managing director Grant Tregurtha said the joint venture is a significant and exciting opportunity that will result in a strong and dynamic presence in the New Zealand market.
“The combination of strengths from both companies will better serve customers, promote innovation and provide greater opportunities for future growth and expansion,” he said.
“We look forward to the future and the many possibilities this will bring.”
The acquisition of both companies will be funded via Qube’s existing undrawn debt facilities in Australia and New Zealand.