PDZ Holdings Bhd and Sanichi Technology Bhd have formed a special purpose vehicle (SPV) to develop and manage an e-commerce logistics hub in Johor.
The hub, to be built on a 234-acre plot in Kota Tinggi, would enable the SPV to conduct bulk-breaking, packaging and distribution throughout the region.
“There is a specific requirement for a central location within the region to handle the massive growth in e-commerce and drop shipping. Any such location has to have reasonably easy access to flight and freight for regional distribution, as well as existing network spokes throughout the region to facilitate bulk breaking and packaging silos,” the companies said in a July 20 bourse filing.
PDZ will provide expertise in logistics management while Sanichi will leverage on its property development know-how to help secure relevant approvals for the site and construct the e-commerce hub.
The hub, said both companies, would benefit from easy access to Singapore and freight access to key regional hubs in Southeast Asia.
“PDZ and Sanichi will finalise the complete list of stakeholders, within 90 days from the execution of this agreement to form an SPV to execute this mega project,” the companies said.
PDZ’s shares trended 3.57% higher at 14 sen while Sanichi moved up 13.33% higher at 1 sen at the midday break today. – July 20, 2020
