Shisoren: Maersk Is About To Launch Several Acquisitions

- Dec 31, 2019-

Maersk will carry out reinforcement type acquisition to improve land logistics services.

Recently, foreign media reported that Maersk will launch several acquisitions to expand its logistics business on the mainland after improving its balance sheet.

According to s ø Ren Skou, Maersk currently undertakes 20% of the world's maritime transport, but only sells land logistics products to less than 20% of its maritime customers.

"We need to accelerate the upgrading of land-based services and make some reinforcement acquisitions," Mr. Shi said

However, he also said that it is difficult to find suitable acquisition targets in the field of land logistics. The reason is that Maersk does not want to be involved in too many freight forwarding businesses, because these are usually Maersk's customers - some freight forwarding companies are doing.

Looking back to 2019, Maersk has started to acquire its onshore business. In February 2019, Maersk acquired the US based customs broker Vandegrift to strengthen its logistics business in North America. Maersk believes that customs declaration business is an important link to realize the strategy of comprehensive transportation logistics enterprises.

In fact, in 2019, on many different occasions, Shi Soren has always stressed that Maersk needs to strengthen its land logistics business, providing services such as supply chain management, truck freight and warehouse operation.

Let's review the golden sentences that shisoren said in 2019!

In an interview with the Wall Street Journal, Mr. shisoren said: "it is hoped that in about two years, the company's revenue from inland transportation and sea transportation will account for about 50% to 50%."

On August 1, 2019, Maersk terminal's inland service business was integrated into Maersk Logistics and service business. "We are fully capable of meeting customer needs, providing end-to-end supply chain management solutions, and then taking advantage of our business advantages to enter the market covering all aspects from production to consumption," Mr. Shi said

On June 5, 2019, Maersk announced the establishment of a new cold storage facility in St. Petersburg, Russia. "Maersk is transforming to provide a comprehensive end-to-end solution to its customers' supply chain," Mr. shisoren said. We will invest in cold chain products and services that have not been fully developed while promoting the consistency of marine business and market growth. This is one of our initiatives to accelerate the rapid growth of non marine business. "

On November 15, 2019, Maersk announced its third quarter results with a real profit of US $452 million. "I am satisfied with the progress of Maersk's transformation. We have made progress in a number of areas, including digital transformation, as well as land logistics and terminal business. "

On December 17, 2019, Maersk appointed Vincent CLERC as CEO of shipping and logistics business, and Henriette Hallberg thygesen as CEO of tugboat, manufacturing and other businesses.

"A year ago, we integrated the company so that customers could connect with special personnel," Mr. Shi said. Now, we are ready and will accelerate the implementation of our strategy by increasing business and operational integration. With the new executive committee leadership structure announced today, I believe we will accelerate the implementation of the transformation strategy. "