Unifeeder Acquires Global Status With its Majority Stakes at Feedertech Group
BY Tiya Chatterji December 3, 2019
Short-sea operator Unifeeder has acquired a whopping 77% stake in The Feedertech Group, a Singapore-based feeder and short sea operator, while the remaining 23% will be retained by the chairman of the group, Ali Maghami.
With Feedertech and its subsidiary, Perma, Unifeeder now has the capability to offer feedering and regional short sea connectivity in Europe, the Mediterranean, North Africa, Asia, the Middle East, and the Indian Subcontinent. It also enables opportunities in the fast-growing coastal short-sea trade on the Indian Subcontinent, complementing the existing India logistics strategy of DP World. The group was established in the year 2003 and operates two companies; Feedertech, which is a feedering service and Perma, a regional short sea network. Both operate in the same market and connect the fast-growing trade route of Asia-Middle East via the Indian Subcontinent.
The group generates annual revenue of around USD 200 million from a diversified customer mix, calls at 50 ports and transports over 600k TEU annually. Unifeeder, which was acquired in 2018 by Dubai-based port operator DP World, said that the acquisition is in line with its parent’s growth ambitions. “Both Feedertech and Unifeeder share similar business models and a vision to reduce inefficiencies, and by combining the expertise of the two entities, we believe we can deliver a high-quality product for our customers. Furthermore, being part of the DP World family will allow us to benefit from their deep relationship with end-customers and a wide global network,’’ says Ali Maghami.
‘‘This is yet another strategic step in our vision to build a global presence, offer a broader network of solutions to customers and leverage the way we engage with them to create the most comprehensive and integrated solutions across multiple geographies. We are excited to be joining forces with a company that operates on the same values as us, said Jesper Kristensen, CEO of Unifeeder. According to the date of Alphaliner, the Unifeeder fleet today stands at 56,654 slots while the Feedertech fleet has 28,839 slots. Combined together the pair would leap into the world’s top 20 league.