UAE’S AD Ports Group has acquired global logistics platform Noatum for €660m, fully funded through a new acquisition loan.
Noatum has a presence in 26 countries with revenue of €1.8 bn and EBITDA of €145 mln.
The acquisition significantly broadens AD Ports Group’s global footprint, placing it among the leading logistics and freight forwarding companies.
AD Ports Group plans to merge its existing logistics business with Noatum to create a leading international logistics brand with a significant presence in the region.
Falah Mohammed Al Ahbabi, chairman of AD Ports Group, said: ‘Under the direction of our wise leadership, AD Ports Group continues to extend our global footprint through value-adding acquisitions and partnerships with market leaders. This ambitious acquisition brings a major global logistics platform into the AD Ports Group family, significantly enhancing our global connectivity and extending the range of maritime, logistics and ports solutions we can offer as we continue to pursue a determined strategy for growth. This acquisition makes AD Ports Group one of the most significant global players in the finished vehicle logistics, which we intend to expand in our home and core markets.’
Captain Mohamed Juma Al Shamisi, managing director and group CEO, AD Ports Group, added: ‘Bringing Noatum into our integrated network of businesses will add scale and new layers of expertise, supporting both our global ambitions and our contribution to economic diversification within the UAE. Noatum operates an asset-light model with a high cash conversion rate and will make an immediate contribution to our financials, at the same time as positioning us for international expansion. We will leverage the acquisition of Noatum to build a strong international logistics brand with deep roots in this region.’
Operating in logistics, maritime and port terminals, Noatum is the market leader in Spain and Turkey and has a significant presence in the US, UK, China, and Southeast Asia.
The company’s logistics business is specialised in comprehensive freight management, project logistics, contract logistics, international supply chain management, customs, and e-solutions.
In particular, Noatum has advanced capacities in heavy lift logistics, which AD Ports Group aims to bring to the region.
Subject to regulatory approvals, the transaction is expected to close in H1 2023.
Noatum’s management will continue for a period of three years to ensure smooth integration.
Rothschild & Co, A&O, Bain & Co and PwC advised AD Ports Group in this transaction.
