SINGAPORE - Singapore Post has increased its stake in a Chinese e-commerce solutions provider in order to partake in the rapid growth of the sector in the mainland, said the company on Monday (Feb 15).
The postal and e-commerce logistics provider acquired an additional an additional 17.91 per cent of the equity in Shenzhen 4PX Information Technology for 163.16 million yuan (about S$36 million).
Headquartered in Shenzhen - a city in southern China - 4PX is one of China's top e-commerce cross-border solutions providers, said SingPost.
Its services include warehousing, express delivery and freight forwarding as well as software and consulting services for e-commerce sellers.
It has more than 20,000 customers in more than 50 locations in China and globally.
"The additional investment in 4PX...is a key part of SingPost's strategy to strengthen our integrated end-to-end e-commerce logistics solutions and to leverage on the rapid growth in China's e-commerce activities," said Ms Goh Hui Ling, SingPost's deputy chief executive (International Mail).
"SingPost's additional investment in 4PX will help 4PX to enhance its overseas operations," said Mr Kevin Li, founder and chairman of 4PX.
"It will also provide China's cross-border e-commerce merchants and consumers with better e-commerce logistics solutions and services, as well as propel 4PX to become the market leader in China's cross-border e-commerce," he added.
Formed in 2004, 4PX has more than 2,600 employees and operates warehouses in China, Australia, UK, Germany and the US.
The purchase of equity in 4PX will be carried out through SingPost's wholly-owned subsidiary Quantium Solutions International and funded from the company's internal resources.