Astra, Hongkong Land & LOGOS Establish a Joint Venture To Manage and Develop Modern Logistics Warehouses

Media
Wednesday 9th February 2022

JAKARTA: Today (2/8) PT Astra International Tbk (“Astra”) and Hongkong Land (“HKL”) announced a joint venture with LOGOS SE Asia Pte Ltd (“LOGOS”) in the management and development of modern logistics warehouses in Indonesia. Astra and Hongkong Land, through PT Astra Land Indonesia (“ALI”), will establish a joint venture company with LOGOS to manage modern logistics warehouses in Indonesia, with an initial focus in the Greater Jakarta (Jabodetabek) area.

President Director of Astra Djony Bunarto Tjondro said, “The establishment of this joint venture with LOGOS demonstrates our confidence in the logistics sector. We wish to expand the availability of modern warehouse facilities to support the logistics sector in Indonesia, and to contribute to Indonesia’s national economic growth.”

Indonesia’s freight and logistics market, in which modern warehouse is a part of, is estimated to increase from US$81.3 billion in 2020 to US$138.04 billion by 2026(*). The increase is being driven by the growth of e-commerce, among others, underpinned by the rapid advancement of digital technology. Indonesia’s modern warehouse sector is estimated to have an ample room to grow as Indonesia’s outsourced logistic is still can be optimized compared to its peers in Southeast Asia; supported by an increasing demand of modern warehouse facilities in the Jabodetabek area.

Stephen Hawkins, LOGOS’ Chairman of South East Asia said: “We are very pleased to be partnering with Astra and HKL to meet the growing demand for modern logistics warehouses in this market and importantly to support local economic growth.”

“The JV will leverage the synergies of both companies; ALI’s track record in the Indonesian property market and LOGOS’ strong experience in developing sustainable, integrated logistics solutions for international and local customers,” he added.

LOGOS is a dynamic and growing logistics specialist with operations across Australia, China, Singapore, Indonesia, Malaysia, Vietnam, India, New Zealand, South Korea, and Japan. LOGOS has been operating in Indonesia since 2017 and has a strong logistics portfolio in Cibitung, Cileungsi, Cikarang, and Pondok Ungu.

(*) Mordor Intelligence