Fast Group, an end-to-end logistics company in the Philippines, has partnered with global private equity firm CVC Capital Partners, which plans to invest P6 billion to support Fast’s further expansion across the country.
CVC Capital is “committing up to P6 billion for this investment for a 40% stake,” CVC Capital managing director Brice Cu was quoted by local media.
In a December 15 release, CVC Capital said the investment will be made through CVC Capital Partners Asia IV, a closed private equity fund.
Founded by the Chiongbian family, Fast Group has been around for over four decades, starting “from its roots in William Lines, a publicly listed shipping company in the 1990s, to become a leader in end-to-end logistics,” said the release.
The business delivers supply chain solutions to multinationals and large organizations operating in the Philippines, its offering spanning the entire supply chain from logistics and warehousing to distribution and transportation.
CVC Capital Partners has a more than 20-year track record of building businesses in Asia.
“This deep experience will be essential in accelerating Fast’s growth and increasing its footprint through mergers and acquisitions, and in the digitalization of its logistics operations through investments in technology,” it said.
William Chiongbian, group president and CEO of Fast Group, said: “The investment in Fast by CVC is a testament to the attractiveness and potential of the Philippine logistics sector, the market leading business we have built over the last four decades, and of course the economy more broadly.”
He expressed delight to be partnering with the investor “as we now seek to accelerate our growth.”
CVC’s Cu added that after agreeing to invest in Fast in 2019, “we have now been working closely with the business for a year and have made excellent progress on a number of important strategic initiatives, most notably in building a pipeline of attractive acquisition opportunities.”
The Singapore branch of UBS AG, a Swiss multinational investment bank and financial services company, acted as exclusive financial adviser to Fast Logistics Group on its partnership with CVC.
