The Philippines’ LBC Express Holdings, Inc. (LBCEHI) has acquired four cargo and remittance companies operating in the United States for US$8.55 million.
In a regulatory disclosure on March 8, LBCEHI said its Board on March 7 approved the purchase of all issued and outstanding shares of LBC Mundial Corporation, LBC Mabuhay Hawaii Corporation, LBC Mabuhay North America Corporation, and LBC Mabuhay Saipan Inc.
In separate disclosures on March 8 and March 14, LBCEHI said the shares were acquired from LBC Holdings USA Corporation, an affiliate company that invests in entities engaged as money transmitters, courier and air/sea door-to-door cargo forwarders to overseas destinations, and travel services.
The acquisitions were made under share purchase agreements executed on March 8.
LBC Mabuhay Saipan, which operates in Saipan, will be paid for in cash for $207,652. The purchase of shares of LBC Mabuhay Hawaii will also be paid in cash for $342,000, and will be subject to approvals from relevant government agencies.
For LBC Mabuhay North America, which operates in New Jersey, the purchase price to be paid in cash is $1.136 million, the acquisition also to be subject to relevant approvals.
LBC Mundial operates as a cargo and remittance company in California, Oregon, and Virginia and invests in LBC Mundial Nevada Corporation, a cargo and remittance operator based in Nevada. The acquisition of LBC Mundial costs $6.864 million, and will be subject to approvals from relevant government agencies.
LBCEHI said the acquisitions will contribute to its global revenue stream.
Early this month, LBCEHI disclosed the incorporation of a Singaporean private limited company, Diez Equiz Pte. Ltd., to diversify LBCEHI businesses and to use the acquired firm to house possible or future investment opportunities.
The LBC Express group currently operates in more than 20 countries, with a network of over 1,200 branches and a pool of 5,300 partner agents, and is steadily expanding both its domestic and global reach.
In the Philippines, it operates three main hubs for sea cargo in Manila, Clark, and Cagayan de Oro, and runs 78 delivery hubs, managing a team of 1,410 delivery associates and over 6,000 employees across the country.
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