The Postman pounces on golden e-commerce opportunity

It expands its e-commerce network to the US.

Anticipating online transactions to skyrocket in the next few years, SingPost builds upon its goal to construct an end-to-end e-commerce logistics network and technology platform through its subsidiary Jagged Peak.

According to a statement by Singapore Post, it has entered into an agreement to acquire a 71.1% equity stake in Jagged Peak for $22.5m. The SingPost subsidiary is a US e-commerce logistics enabler for high-velocity consumer products.

“SingPost’s eCommerce footprint comprising its best of breed technology platforms and fulfilment service network will then be global, linking the continents of Asia, Australia, continental North America and Europe,” SingPost said.

SingPost says the acquisition would enable the Postman to support customers in a global scale and move products more efficiently by implementing Jagged Peak’s Flexnet technology.

“SingPost’s now global eCommerce logistics and technology infrastructure will enable SingPost customers to grow not only across Asia Pacific but expand into the US and beyond seamlessly with one eCommerce logistics solution provider,” the statement said.

“This transaction is also part of our strategy to focus our resources on strengthening our geographical reach and the technology we employ as an eCommerce logistics company,” says Wolfgang Baier, SingPost’s group chief executive officer.