Kerry Logistics Network and Hengan Group Form Joint Venture To Enhance Synergistic Competitiveness in Healthcare Products Market
HONG KONG SAR - Media OutReach - 20 October 2021 - Kerry Logistics Network Limited ('Kerry Logistics Network' or 'KLN'; Stock Code 0636.HK) and Hengan International Group Company Limited ('Hengan Group'; Stock Code 1044.HK), the leading producer of hygiene consumables in China, have set up a joint venture company to create synergy in the business-to-business ('B2B') bulk distribution and wholesale market of medical, healthcare and hygiene products. By combining KLN's strengths in domestic logistics and distribution and Hengan Group's industry-leading sourcing power and comprehensive portfolio in hygiene products, the joint venture company will have unique competitiveness in meeting the new demands of medical institutions and public facilities.
The joint venture company was established to explore a closer collaboration and provide innovative solutions to customers in both the public and private medical and healthcare sectors. While it is looking to expand its business into other Asian countries and territories going forward, the joint venture will also have full support of the "Banitore" brand of products, which are owned by Hengan Group, in the Hong Kong market.
William Ma, Group Managing Director of KLN, said, "We are pleased that KLN is joining forces with Hengan Group, a leader in hygiene consumables in the China market. This joint venture will not only enable the two companies to explore more growth opportunities in the medical, healthcare and hygiene products market, but also create a unique competitive edge for us to support our customers in meeting new challenges through the pandemic."
Tommy Hui, Executive Director of Hengan Group, said, "This partnership marks the coming together of the best in two industries, leveraging Hengan Group's leading position in the production of hygiene consumables in the China market and KLN's established network in China and the rest of Asia, broad customer base as well as trusted track record in domestic logistics in Hong Kong. Our ongoing collaboration with KLN has been fruitful and we have high hopes for this new venture."
In 2020, KLN and Hengan Group worked together to meet the community's high demand for pandemic-related medical, healthcare and hygiene products including masks, gloves and toiletries.
About Kerry Logistics Network Limited (Stock Code 0636.HK)
Kerry Logistics Network is an Asia-based, global 3PL with a highly diversified business portfolio and the strongest coverage in Asia. It offers a broad range of supply chain solutions from integrated logistics, international freight forwarding (air, ocean, road, rail and multimodal), industrial project logistics, to cross-border e-commerce, last-mile fulfilment and infrastructure investment.
With a global presence across 58 countries and territories, Kerry Logistics Network has established a solid foothold in half of the world's emerging markets. Its diverse infrastructure, extensive coverage in international gateways and local expertise span across China, India, Southeast Asia, the CIS, Middle East, LATAM and other locations.
Kerry Logistics Network generated a revenue of over HK$53 billion in 2020 and is the largest international logistics company listed on the Hong Kong Stock Exchange.
About Hengan Group (Stock Code 1044.HK)
Hengan Group was established in 1985. It is principally engaged in production, distribution and sales of personal hygiene products in mainland China. The shares of Hengan International have been listed on the Hong Kong Stock Exchange since 1998. The Group has become a Hang Seng Index constituent since June 2011. Under the Hengan Group, BANITORE was founded in 1978 and is Hong Kong's leading brand in First Aid supplies. Its products have been extended to most pharmacies, supermarkets, chain-stores, hospitals and clinics.