Singapore logistics service provider TVS Asianics has acquired the freight forwarding and contract logistics businesses of Pan Asia Logistics (PAL).

But the firm's other subsidiaries, developer Pan Asia Logistics Investments and niche logistics product Panalogs Projects are not part of the deal.

They will continue to be independently managed by founders Christian Bischoff and Susan Tan.

Both companies declined to comment on the valuation of the acquisition, but TVS Asianics is believed to have an intended investment figure in Singapore of around US$100 million (S$132 million).

TVS Asianics posted revenue of $340 million last year, while PAL had turnover of $160 million.

Industry sources expect their combined revenue to increase to $600 million this year, as TVS Asianics focuses on integrating the newly acquired assets.

Mr Gerald Tan, who will remain PAL's chief executive, said the acquisition will help the company accelerate the design of innovative logistics solutions.

The company added that the acquisition will be used to fund the digitalisation process across all operations, to renew its systems and expand its global reach.

Mr Bischoff, who will take an advisory role to the boards of both companies, said: "Now is the right time to drive the next level of development and growth, and to strategically position Pan Asia Logistics to capitalise on opportunities within the shifting global economic landscape by becoming an integral part of the TVS Asianics global network."

The firm said it does not foresee changes in staff size, which stands at around 600 employees in countries such as Germany, China and Thailand.

TVS Asianics is a joint venture with TVS Logistics Services and a unit of automotive conglomerate TVS Group, a century-old private Indian group that reportedly has an annual revenue exceeding US$7 billion and more than 60,000 employees across 59 companies.

TVS Asianics, which was founded in 2014, is based in Singapore with operations in 15 countries. It provides an integrated supply chain network of commercial centres across Asia with links to Europe and the Americas.

The firm said the acquisition will double the company's global ocean and air freight forwarding volumes.

It will also obtain advanced technology-driven contract logistics and distribution capabilities throughout Asia, especially in Singapore and Malaysia.

Chief executive James McAdam said: "The acquisition of Pan Asia Logistics is a unique opportunity for TVS Asianics to complete its geographic expansion across Asia and complement its team of logistics professionals with Pan Asia Logistics' highly experienced management team and its more than 600 employees across Asia."