CJ Group has jumped in a bidding war to take over a mid-sized package delivery and shipping company Daewoo Logistics. After failing to acquire Singapore's APL Logistics through its logistics subsidiary CJ Korea Express, it has turned its attention to a domestic target.
According to investment banking sources on April 17, three bidders, including Samra Midas Group, IMM Private Equity, and CJ Group, have answered to letters of intent sent by CIMB Securities, Daewoo Logistics' underwriter.
Blue Ocean PEF, the largest shareholder in Daewoo Logistics, has sent out prospectus materials to potential buyers since last month after deciding to sell off a 73.3-percent stake in the company. Blue Ocean PEF was formed in June 2011 by NH Investment & Securities and Kamur Investment Partners, with major investors including Korea Finance Corp. and the Public Officials Benefit Association.
CJ Korea Express as a subsidiary, CJ Group is eyeing for Daewoo Logistics for it overseas networks in Japan, China, Singapore, Indonesia, and Myanmar in order to use it as a stepping stone to leapfrog into a global logistics company.
Samra Midas Group, meanwhile, acquired Korea Lines, the nation's No. 4 shipping company, in 2013 and is loaded with cash as its construction affiliates posted record-high results for the past few years.
