CWT

CWT: To acquire a 50% stake in Unimar Logistics (Unimar) from existing shareholders for a total consideration of US$8.8m.

Unimar is the leading service provider of container cargo in Turkey, providing both air and sea freight. Invt in Turkey in part of on-going expansion for co to create network of freight consolidators and Unimar has been part of the network for 13 yrs prior to this. Payment will be in 4 tranches with initial of US$6.5m and remaining amt of US$2.3m in 3 equal instalments. In addition, there will be up to $1m which co will inject into the JV for expansion purposes upon completion. It is likely that co will expand further through acquisitions to achieve its strategic goals.

Co has current P/E of 19.2x.


Co now trades at fwd P/E of 10.2x compared to peers Indofood Agri at 8.4x and First Resources at 10.4x