07/14/2021 | Press release | Distributed by Public on 07/14/2021 04:40
Dubai, UAE - Wednesday, 14 July 2021: Aramex (DFM: ARMX), a leading global provider of comprehensive logistics and transportation solutions, and Germany-based DB Schenker, a global leader in supply chain management and logistics solutions, today announced the signing of a strategic Memorandum of Understanding (MoU) with the aim to drive forward synergistic opportunities in supply chain solutions across multiple critical industries to and from Abu Dhabi and the wider MEA region.
By leveraging DB Schenker's extensive global experience in specialized freight forwarding solutions across multiple industries, the partnership will seek to further boost Aramex's capabilities and offerings in the region, including, but not limited to, the aerospace, defense, infrastructure, and healthcare industries. Conversely, by teaming up with Aramex and capitalizing on its strong brand identity, leadership position, deep knowledge and expertise in the region, DB Schenker will be able to expand its presence more comprehensively in Abu Dhabi, a strategic and growing trade and logistics hub in the MEA region.
Commenting on the MoU, Othman Aljeda, Chief Executive Officer of Aramex, said: 'This is a very exciting strategic partnership that has the potential to unlock more value for existing customers while also enabling us to realize our commercial and diversification goals. Over the several years, we have been strategically focused on enhancing our core freight forwarding business through investment in technologies and expanding on the ground operations with the intention of enhancing our capabilities, capturing greater market share in core markets and diversifying our customer base by penetrating new industry verticals. By joining forces with DB Schenker, a global logistics company we regard as truly complementary to ours in the region, we will accelerate the realization of our goals in the freight forwarding business. Our alliance will enable Aramex to become a stronger, more competitive player in the sea and air freight forwarding services in Abu Dhabi and other core markets. While we are working on the partnership agreement and will update the market in due course on our final agreement, on behalf of the Aramex team, I look forward to working alongside the DB Schenker team.'
Christopher Smith, Chief Executive Officerof DB Schenker, Middle East & Africa, said: 'At DB Schenker, we recognize the immense opportunities emanating from Abu Dhabi and the MEA region. We believe our alliance with Aramex was a natural choice given their history, expertise, knowledge, and extensive network in the region. I am confident that together, we will be able to grow our footprint in Abu Dhabi and the wider MEA region. We are excited about this expansion plan, and we look forward to realizing synergies and scaling our operations in the region to serve our existing major accounts and new potential clients more comprehensively.'
Traditionally Aramex's freight forwarding business was largely focused on the cyclical Oil & Gas (O&G) sector. While the company will continue to serve this important sector, the energy industry has witnessed lower levels of activities in recent years, which inevitably had a knock-on effect on Aramex's freight forwarding business. However, in 2020 the healthcare, pharmaceuticals and FMCG segment helped offset some of the weakness from O&G. Going forward, the company will continue to strengthen its freight forwarding capabilities through strategic partnerships, investment in technologies and hiring and upskilling the necessary talent.
Aramex (DFM: ARMX) is a leading global provider of comprehensive logistics and transportation solutions. Established in 1982 as an express operator, the company rapidly evolved into a global brand recognized for its customized services and innovative multi-product offering. The company was the first Arab-based organization to be traded on NASDAQ stock exchange (1997-2002), and today, Aramex is a publicly traded company on the Dubai Financial Market, employing more than 15,500 people in over 600 locations across more than 65 countries. The range of services offered by Aramex includes International and Domestic Express Delivery, Freight-Forwarding, Integrated Logistics Solutions & Supply Chain Management, Secure Records and Information Management Solutions, and e-Commerce Solutions including Shop and Ship. For more information, please visit us on: www.aramex.com
About DB Schenker:
With around 76,900 employees at more than 2,100 locations in over 130 countries, DB Schenker is the world's leading global logistics provider, supporting industry and trade in international goods through land transport, worldwide air and ocean freight, contract logistics, and supply chain management. Our value-added services ensure that the cargo reaches the final customers safely, seamlessly, and supply chains stay lean and optimized for success. In the Middle East and Africa, DB Schenker has been established for over 60 years, successfully serving customers in 40+ countries. More than 1,700 logistics experts help clients with effective, specialized supply chain and transportation solutions throughout the region. For more information, visit us at www.dbschenker.com or get in touch with us at [email protected]
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