Deutsche Post May Buy Stake in Chinese Logistics Firm
Deutsche Post World Net, the German postal company, confirmed yesterday that it is considering buying a share in logistics firm China National Foreign Trade Transportation (Group) Co., better known as Sinotrans."The Chinese government is planning to launch a Sinotrans initial public offering, and we are observing the process to find out if it is possible for foreign companies to participate," company spokesman Martin Dopychai said in a statement.
Dopychai said Deutsche Post sees China as a high growth market, though he declined to disclose potential revenue from the region. Deutsche Post subsidiary DHL is a market leader in the express business segment in China with a market share of about 40 percent.
Deutsche Post Global Mail and DHL Worldwide Express, both DPWN companies, also said yesterday that they will combine their international mail activities in Australia and New Zealand into an existing service called Global Mail Business.
Mail for existing DHL Worldmail customers now will be shipped through GMB, but still will be invoiced by DHL. The service will be available through Deutsche Post Global Mail's and DHL's existing sales and courier network. DPGM and DHL already offer the service in Europe and the United States.
Meanwhile, insiders said that DPWN was nearly finished with negotiations to acquire the 50 percent it does not already have in British parcel service Securicor Distribution for $300 million. DPWN would not comment on the Securior deal.
