DHL announce 100m AED investment in Dubai
DHL has announced plans to build its largest ground operations facility in the Middle East and North Africa, following an official ceremony opening the new site facility near Dubai.
The new Express ground operations facility project will cost 100m AED (United Arab Emirates Dirham) according to a statement released by DHL, who claimed that the facility will increase the speed of service, ensuring earlier deliveries and late pick-ups.
The facility, which covers over 185,844 square feet, will sit within Meydan’s racecourse district, is just minutes from the heat of Dubai. The investment, which will be completed with a partner, MGE Middle East General Enterprise L.L.C. will include ‘state-of-the-art features and capabilities’, in addition to best in class handling processes, according to an online statement by DHL.
Due to be completed in Q3 2013, the building features energy efficient management systems, security, indoors loading and supply chain equipment. In addition, DHL plans for the the new investment to feature the latest automated handling equipment and communication technology systems, which are designed to bolster efficiency, enhance speed or service and reduce transit shipment times.
Frank-Uwe Ungerer, Country Manager for DHL Express UAE, commented: “The new DHL Express UAE facility is a logistics milestone in DHL’s Middle East and North Africa network and we are extremely proud to be partnering with Meydan to launch our largest ground operations facility in the region.”
“As the region’s economy goes from strength to strength this new facility marks not only a milestone in the growth of DHL but also of the UAE economy. Since DHL first began operations in 1976, our growth has mirrored that of the UAE. DHL’s latest investment will help to further consolidate the global connectivity of the UAE by connecting the Middle East to DHL’s global network for at least the next 20 years, and thereby ensuring continued growth through improved transit times and network reliability. This outstanding investment will further cement our leadership position in terms of connections, convenience and cost-effectiveness.”
Uber Freight to Acquire Transplace in $2.2bn Deal
Uber Freight is to acquire logistics technology and solutions provider Transplace in a deal worth $2.25bn.
The company will pay up to $750m in common stock and the remainder in cash to TPG Capital, Transplace’s private equity owner, pending regulatory approval and closing conditions.
“This is a significant step forward, not just for Uber Freight but for the entire logistics ecosystem,” said Lior Ron, Head of Uber Freight, and former founder of the Uber-owned trucking start-up Otto.
Uber’s Big Play for Supply Chain
Transplace is one of the world's largest managed transportation and logistics networks, with 62,000 unique users on its platform and $11bn in freight under management. It offers truck brokerage and other capacity solutions, end-to-end visibility on cross border shipments, and a suite of digital solutions and consultancy services.
The purchase is the latest move by parent company Uber, which launched as a San Francisco cab-hailing app in 2011, to diversify its offering and create new revenue streams in all transport segments.
Transplace said the takeover comes amid a period of “accelerated transformation in logistics”, where globalisation, shipping and transport disruption, and widespread volatility are colliding.
Uber Freight plans to integrate the Transplace network into its own platform, which connects shippers and carriers in a dashboard that mirroring the intuitive experience found in its consumer vehicle booking and food ordering services.
“This is an opportunity to bring together complementary best-in-class technology solutions and operational excellence from two premier companies to create an industry-first shipper-to-carrier platform that will transform shippers’ entire supply chains, delivering operational resilience and reducing costs at a time when it matters most,” said Ron.
Frank McGuigan, CEO of Transplace, said the resulting merger will offer enhanced efficiency and transparency for shippers, and benefits of scale for carriers. “All in all, we expect to significantly reduce shipper and carrier empty miles to the benefit of highway and road infrastructures and the environment,” he added.
History of Uber Freight
Uber Freight was established in 2017 and separated into its own business unit the following year. In 2019 the company had expanded across the entire continental US, established a headquarters in Chicago. Later that year it launched its first international division in Europe, initially from a regional foothold in the Nertherlands, and later moving into Germany.
The logistics spinoff attracted a $500m investment from New York-based Greenbriar Equity Group in October 2020, and launched a new shipping platform for companies of all sizes in May, partly in response to a driver shortage in Canada.