Business
Jayud Announces Entry into Agreements to Acquire Two International Logistics Companies, Embarking on an Acquisition Strategy to Expand Service Offerings and Geographic Footprint
SHENZHEN, China, Jan. 23, 2024 /PRNewswire/ -- Jayud Global Logistics Limited (NASDAQ: JYD) ("Jayud" or the "Company"), a leading end-to-end supply chain
About this update from Jayud Global Logistics Limited
[{"type":"text","content":"SHENZHEN, China, Jan. 23, 2024 /PRNewswire/ -- Jayud Global Logistics Limited (NASDAQ: JYD) (\"Jayud\" or the \"Company\"), a leading end-to-end supply chain solution provider based in Shenzhen, specializing in cross-border logistics, today announced that Shenzhen Jayud Logistics Technology Co., Ltd., a wholly-owned subsidiary of Jayud in China, entered into equity purchase agreements to acquire 51% stakes in two international logistics companies, respectively, namely Qingdao Oranda Supply Chain Management Co., Ltd., and Shenzhen Jiniu International Logistics Co., Ltd.\n\nThese acquisitions demonstrate the Company's approach to growth, both organically and through strategic acquisitions, enhancing its overall market position while expanding the Company's client base, service offerings, and geographic footprint.\nAcquisition Profiles:\nQingdao Oranda Supply Chain Management Co., Ltd.Shenzhen Jayud Logistics Technology Co., Ltd. (\"Shenzhen Jayud\"), a wholly-owned subsidiary of Jayud, entered into an equity purchase agreement to acquire 51% of the equity interests in Qingdao Oranda Supply Chain Management Co., Ltd. (\"Oranda\").\nHeadquartered in Qingdao, Shandong, Oranda is a premier international logistics company. Renowned for competitive pricing and strategic use of ship-owner resources, Oranda has cultivated an extensive client base and a proficient team. With branches in key ports across China and a global presence through agents in the Americas, Europe, Africa, and Southeast Asia, Oranda specializes in comprehensive logistics services for specialty goods. Its innovative chain-service model and intelligent booking system offer a complete range of services, including cargo identification, transportation, reinforcement, warehousing, customs clearance, and insurance.\nThe corresponding equity interests in Oranda shall be transferred to Shenzhen Jayud upon the execution of the equity purchase agreement, while the purchase price of this transaction, depending on Oranda's actual annual average net profit from the acquisition closing date to December 31, 2026, will be paid partially in cash and the remainder in Class A ordinary shares of Jayud in 2027. If Oranda's annual average net profit from the acquisition closing date to December 31, 2026 is less than approximately US$700,000 (RMB 5 million), Jayud reserves the right to cance...