(Bloomberg) – Cargo Services Group and JL Enterprises Holdings Ltd., two logistics companies founded by Hong Kong tycoon John Lau, are considering selling their stakes in EV Cargo, according to people familiar with the matter.
Most read by Bloomberg
Cargo Services, a supply chain services provider, and JL Enterprises, a family office that invests in trucking and logistics, plan to announce their intention to divest their entire investment in EV Cargo as early as Monday, the people said, asking not to be named because the matter is private. The companies own a significant minority stake in Hong Kong-based EV Cargo, the people said.
Lau founded both Cargo Services and JL Enterprises in 1989 and 2000, respectively. He is also Chairman of Hong Kong-listed CN Logistics International Holdings Ltd. and was an early backer of EmergeVest, the Hong Kong-based private equity firm that owns a majority stake in EV Cargo.
A representative from Cargo Services and JL Enterprises declined to comment, while EmergeVest and EV Cargo did not immediately respond to requests for comment outside of normal office hours.
A potential divestment by Cargo Services and JL Enterprises would follow in the footsteps of EmergeVest, which has been considering strategic options for its majority stake in EV Cargo, Bloomberg News reported in 2021. Options being explored included a sale or an IPO of the company The deal was worth at least $1.5 billion, people familiar with the matter said at the time.
According to a press release, EmergeVest founded EV Cargo in 2018 after adding six UK logistics companies to its portfolio. The trucking, supply chain and technology company operates in more than 50 countries and has grown both organically and through mergers and acquisitions, EmergeVest’s website shows.
Most Read by Bloomberg Businessweek
©2023 Bloomberg LP
Don’t miss interesting posts on Famousbio
