Photo: Deutsche Post-DHL

DHL Supply Chain is to acquire 100% of Glen Cameron Group, an Australian logistics company specialising in road freight and contract logistics.

Glen Cameron Group operates a fleet of 1,000 trucks and trailers, and has more than 820 employees around Australia, and DHL said the takeover would “strengthen DHL’s position in the evolving Australian road freight market and create one of the largest logistics companies in the country with combined revenue of over A$1bn (US$694m)”.

Steve Thompsett, CEO, DHL Supply Chain Australia and New Zealand, explained that the purchase, for an undisclosed amount, would increase DHL Supply China’s transport capacity in the region.

“This is a unique opportunity to add more high-quality transport services to our warehouse and transport solutions in Australia,” he said. “We look forward to offering a fuller range of transport services.

“DHL is well recognised for having a strong warehouse base and, with this acquisition, we will be strengthening our offer with four services – Domestic Nationwide General Freight, Domestic Nationwide Express Freight, Specialised Services and Contract Logistics transport.”

Loadstar Premium columnist Mr Joy, who is based in Australia, suggested securing road freight capacity as the likely key driver of the deal. he  said: “It is a bit of an odd purchase – if DHL wants to increase its parcels reach, why buy a contract logistics business instead of a carrier with a large national network?

“Unless it is pivoting from network to concentrate on contract logistics? DHL talks about general and express freight, but all I see this purchase doing is providing capacity to undertake these activities.

“DHL could be buying Glen Cameron to get access to drivers, trucks and trailers. This way, it is in control (to a large extent) of its destiny regarding cost management (and access to capacity), given the tightening of the sub-contractor market, which is struggling to get drivers, and there are concerns around the viability of carriers if fuel prices continue to increase and the temporary cut in fuel excise expires in September,” he added.

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