Abu Dhabi sovereign investor Mubadala Investment Company has entered a share purchase agreement to acquire a 30% stake worth around $566.6 million in Asian pallet pooling firm Loscam International, according to an exchange filing on Thursday.
China Merchants Shipping, an indirect wholly-owned subsidiary of Hong Kong-listed Sinotrans, agreed to offload its 25% stake in Loscam for around $472.2 million; while CITIC Capital Maneuver and FV Pallet conditionally agreed to sell their 3% and 2% equity interests for $56.7 million and $37.8 million, respectively.
CITIC Capital Maneuver is an investment holding firm managed by PE firm Trustar Capital Partners, while FV Pallet is an investment holding vehicle that is managed by PE firm FountainVest Partners, per the filing.
Upon completion of the deal, Sinotrans’ equity interest in Loscam will drop from 45% to 20%, making Loscam an associate under the Hong Kong-listed firm. CITIC Capital Maneuver and FV Pallet will see their stake drop to 30% and 20%, respectively.
Founded in 1942, Loscam International operates in 12 regions across Asia Pacific, providing pooling and returnable packaging solutions for use in supply chains. The Hong Kong-headquartered firm saw a negligible growth in post-tax profit from around 458.3 million yuan ($63.9 million) in 2023 to 477 million ($66.6 million) in 2024, per the filing.
Trustar Capital, previously known as CITIC Capital Partners, together with FountainVest, acquired a 33% stake and a 22% stake in Loscam, respectively, for almost 2.5 billion yuan and 1.5 billion yuan from Sinotrans in 2018.
