Agility announced that its digital freight forwarding arm, Dubai-based Shipa Freight, will merge with Barcelona-based online freight platform, iContainers.
Agility said Shipa Freight and iContainers will combine technology platforms and operations.
"The combined company, wholly owned by Agility, will be one of the top-five most-visited online freight forwarding platforms globally," it added.
The Kuwait-based Agility noted that the merger will create one of the most comprehensive suites of digital forwarding services available including standard air and ocean freight shipments for business customers, ranging from small and medium-sized enterprises (SMEs) to multinational companies requiring spot shipments; household relocation services for individuals moving from one country to another; and agent services for local forwarding companies that are looking for international partners in key markets.
It will also offer "White label" digital forwarding services which Agility says can be seamlessly integrated into B2B e-commerce platforms.
E-commerce rise cited
Agility said the digital forwarding market has spiked with the rapid acceleration of e-commerce, and the desire of merchants, B2B sellers, and entrepreneurs to have self-service tools that provide them with greater control and visibility of their supply chain.
"Digital forwarding was growing before the pandemic, and the pandemic has accelerated digital adoption. This is especially true among small businesses looking to find a trusted partner to support them through the supply disruptions of the last couple of years," said Henadi Al-Saleh, Agility’s chairperson.
"We expect the digital freight forwarding market to grow by over 40% a year over the next few years. The Shipa Freight - iContainers merger will create a stronger company to serve these customers," Al-Saleh added.
Carlos Font, CEO of the combined Shipa Freight - iContainers entities, for his part said the merger of the industry's leading digital forwarders, can bring tremendous value to its customers.
"Both have deep expertise, and joining forces will strengthen the technology platform, improve customer experience, and help expand the service offerings and geographic coverage for customers around the world," Font added.
