PSA Southeast Asia has reached an agreement with JWD InfoLogistics Public Company Limited (JWD) to sell an up-to-20% effective stake in Eastern Sea Laem Chabang Terminal (ESCO) over two stages.

In a statement, PSA said since 2003, it has been a shareholder of ESCO, a container terminal, and supply chain operator in Thailand.

Meanwhile, ESCO operates Terminal B3 at Laem Chabang Port (LCB) and Module B at Lat Krabang Inland Container Depot (LICD), offering a wide range of logistics services covering container handling, container storage, warehousing, multi-modal transportation, and customs clearance.

JWD, an integrated logistics company with a presence in Thailand and Southeast Asia, will work with PSA to develop innovative and sustainable cargo solutions and co-create an Internet of Logistics – a logistics ecosystem of connected and interoperable nodes underpinned by digitalization initiatives.

"The combination of PSA, a leading global port group and supply chain orchestrator, and JWD, a reputable and recognized expert in logistics and supply chain, will elevate ESCO’s unique strategic position as a regional holistic supply chain operator, covering multidimensional and multi-modal flows of physical (cargo), digital and financial," said Ong Kim Pong, Regional CEO Southeast Asia, PSA International.

"PSA is delighted to welcome JWD into the fold as a strategic supply chain partner at ESCO. In a new normal beset by supply chain disruptions, forging close collaborations and partnerships between key supply chain operators has become increasingly important," he added, noting that in this regard, PSA is looking forward to leveraging the combined strengths of PSA and JWD to enhance ESCO’s overall value proposition."

The transaction is expected to close before the end of the year.