Kuehne + Nagel and Singaporean state-owned investment company Temasek Holdings have signed a memorandum of understanding to establish a joint venture to invest globally in startup companies developing new technology for logistics and supply chains.

“This joint venture will be able to accelerate the transformation of the logistics industry,” said Joerg Wolle, chairman of Kuehne + Nagel International AG. “The cooperation combines Temasek’s focused and long-term oriented investment strategy and expertise, with Kuehne + Nagel’s global logistics network and know-how, creating a win-win situation for all parties. For Kuehne + Nagel it is both another important step in the deployment of our digitalization approach and to shape the future of our industry.”

According to the two companies, the JV will target investments into early-stage companies developing technologies and services that have the potential to transform traditional business models in logistics, improve efficiency and provide an enhanced value proposition for consumers. The cooperation will have a particular focus on the areas of big data and predictive analytics, artificial intelligence, blockchain and robotics.

“The opportunities presented by the growth of technology and its application across sectors have been an increasing focus for Temasek,” said Tan Chong Lee, president and head of Europe and Southeast Asia at Temasek. “We are pleased to partner with Kuehne + Nagel in this joint venture, and believe the collaboration will allow us to further identify and support growing companies at the forefront of technological development in the logistics industry.”