HK forwarders merge, global market capture

HONG KONG-based privately held "mid-major" forwarders of Overseas Group and Globe Express Services has merged, but will retain individual management teams for supervising Overseas American exports to Europe market and Globe`s Middle East and GES Asian imports to the US.
Overseas president Gilbert Khoury said by combining non-competing activities of the two companies, they hoped to see an expansion of scale and scope as "very little overlap exists within our companies, each with its own unique areas of expertise in business segments and trade lanes".
GES chief executive Ziad Korban said the merger will strengthen its knowledge base and market share. "This new partnership will enable us to offer more value added services, expand our geographic footprint and embark upon new opportunities."
Tony Bikhazi, who will serve as president for the Americas of the merged company, said: "Both companies had regional strengths, relationships and operating platforms. The combined company now offers robust front line support (corporate offices) and personnel in nearly every major global logistics market including Asia, The Americas, Europe and the Middle East."
The companies claim network synergies are immediately attainable, with very little resource and functional consolidation required, said Mr Bikhazi.
Immediate moves will focus on streamlining back office operations, developing a mutual corporate identity and maintaining customer service levels.
Said Mr Korban: "The merger is a win-win-win for our customers, our employees and the company as a whole. We are completely committed to the success of all the stakeholders we serve."