Panalpina acquires Egyptian Afifi group

Long-time Egyptian partner Afifi to support the Basel headquartered Panalpina group with its strategic expansion in emerging countries

Panalpina is to acquire its Egyptian agent Afifi, a renowned family-owned company specialising in freight forwarding, customs clearance and logistics. For the international provider of supply chain solutions this move is an important step in it’s continued strategic expansion in growth economies, in particular in the Middle East and Africa. Afifi has been Panalpina’s agent in Egypt for the last 20 years.

Afifi will be fully integrated into the Panalpina group. The two companies reached a respective agreement on May 28, 2015, under which Panalpina will acquire 100 per cent of Afifi, subject to conditions.

Afifi was established in 1936 in Cairo by Mohamed Afifi, Sr., and today employs around 150 staff in offices in Cairo, Alexandria and Suez / Sokhna. It also operates in Port Said East and West through a long-term subcontractor.

“Egypt has a lot of potential for us,” says Peter Triebel, Panalpina’s regional CEO for the Middle East, Africa and CIS. “By uniting with our long-standing partner Afifi, we will increase our foothold in this attractive market and lay a strong foundation for growth. Afifi has a solid customer base in Egypt, as well as a strong track record and reputation in local customs brokerage and project logistics.”

Panalpina’s push in Egypt marks the latest milestone in the company’s strategic expansion in emerging economies. “Egypt has a large population and a sizeable middle class, in addition to being the regional base for numerous international companies,” Triebel explains. “Now political reforms are under way to strengthen the economy and improve the investment climate. Add a freight forwarding market that is very fragmented, and we have ample opportunity for growth.”

While all major industries are represented in the country, Panalpina sees the greatest growth potential in the oil and gas, capital projects, telecom, automotive and healthcare sectors. The government has stepped up efforts to encourage the exploration of oil and gas, in particular in the Nile delta. Egypt, with a population of almost 90 million people, is the largest non-OPEC oil producer in Africa and the second-largest dry natural gas producer on the continent.

The Afifi Group consists of three companies: Afifi Air Cargo, Afifi World Transport and Afifi Logistics International. Afifi’s core activities are ocean freight and air freight. It is also specialised in projects logistics, mainly for oil and gas customers, and customs brokerage.

www.panalpina.com  www.afifiworld.com

Quelle: LogEastics
Portal: www.logistik-express.com