Freight forwarding and supply chain solutions company Accelerated Global Solutions (AGS) has announced an investment in KGW Group Berhad (KGW), acquiring a 15% equity stake in the firm.

AGS said the move will solidify its position in trans-Pacific trade and enhance its ability to offer integrated, end-to-end supply chain solutions that address the complex needs of global shippers.

"The strategic investment in KGW enables AGS to deepen its global freight forwarding presence while leveraging KGW’s established leadership in trans-Pacific ocean freight," it added.

KGW handles over 10,000 TEUs each year to North America, making them a good fit for AGS, which already offers freight forwarding, customs brokerage, and warehouse services.

KGW also provides air freight services as well as warehousing and distribution solutions for healthcare-related products and devices.

KGW will be able to use AGS's global network, which has warehouses and last-mile delivery options across North America, Greater China, Southeast Asia, and Europe. 

In collaboration with SpeedX, known for its last-mile delivery services, the partnership seeks to establish a streamlined logistics system that manages operations from the point of origin to delivery. This investment supports AGS CEO Chris Zheng's goal of building a substantial end-to-end supply chain infrastructure in the near future.

 "KGW's leadership in trans-Pacific ocean freight aligns seamlessly with AGS's vision of building a truly integrated logistics network. By combining our existing freight forwarding and brokerage capabilities, KGW’s ocean freight expertise, and SpeedX's innovative last-mile solutions, we are creating an infrastructure that meets the demands of a globalized economy. This partnership reflects our commitment to delivering efficient, cost-effective, and tech-enabled global logistics solutions," Zheng, who is also the founder of SpeedX, said.

Dato’ Roger Wong, managing director of KGW Group, said this alliance marks an "exciting chapter" for the company. "With AGS's extensive air freight and customs expertise and SpeedX's innovative last-mile delivery capabilities, we are redefining the logistics experience for our clients."

"This partnership allows us to enhance our trans-Pacific dominance, drive sustainable growth, and provide end-to-end solutions that address the demands of global supply chains," he said.

SpeedX has a last-mile network covering over 9,000 zip codes in the United States, while KGW provides expedited deliveries across major metropolitan areas.

"This investment not only enables AGS to continue building a robust end-to-end supply chain but also strengthens its leadership in trans-Pacific logistics. By bridging international freight forwarding and last-mile delivery, AGS and KGW aim to set a new standard for global supply chain solutions," the announcement said.