India's Gati aims to buy Chinese cargo business for US$5 million

HYDERABAD-BASED logistics firm Gati has set its sights on buying a cargo company in China for up to US$5 million, after identifying three small firms as potential acquisition targets.

We are looking at a hybrid model, which includes operating within own offices and through a partner for widening our footprint (overseas), Gati International chief business officer Sameer Khatri was quoted as saying in a report by The Economic Times of India.

Gati's international network currently comprises offices in Hong Kong, China, Singapore and Thailand, which combined contribute 5 per cent of the group's total revenue.

The report said that Gati has its eyes on acquiring a Chinese cargo business located in the mainland cities of Shanghai or Guangzhou, but the firm has not set a timeframe for an acquisition, which would be expected to take about six months to set up.

Source: Schednet