World-famous courier firm DHL has signed a deal to buy Turkish parcel delivery company MNG Kargo and its subsidiaries, according to a statement from the company on Tuesday.
The Germany-based company said it would benefit from the expected double-digit growth of the Turkish parcel market, which is significantly higher than the expected growth rate within the European Union.
DHL said that the young Turkish population has a high affinity for digital communication, which should provide a strong tail wind, especially in online shopping.
Until now, the DAX-listed company has only been present in Türkiye with its Express division, which handles time-critical shipments.
According to the announcement, the complete takeover of the company with about 5,700 employees includes 27 sorting centers as well as 800 centers for the delivery on the last mile, meaning transport to people's doorstep.
Whether the MNG brand will remain or be replaced by the DHL logo in the future will be decided at a later date, a company spokesperson said when asked.
The Turkish authorities still have to approve the takeover. DHL hopes that the transaction can be completed this year, the spokesperson said. No details were given on the purchase price.
E-commerce is one of the focus areas of DHL Group's Strategy 2025 to strengthen the profitable core and secure long-term growth.
Underlining the importance of e-commerce for the growth of logistics services and especially for parcel volumes, CEO Tobias Meyer said: "We, therefore, continuously work to expand our footprint in the e-commerce sector – whether through organic or inorganic growth."
"MNG Kargo complements our business portfolio and will help further to strengthen our position in this sector," he added.
Pablo Ciano, CEO of DHL e-Commerce, said: "The acquisition of MNG Kargo will strengthen our network and help us connect our customers with the Turkish market, and vice versa."
