Following the recent establishment of investment holding company Regal Global Logistics (RGL) by SGX-listed Regal International Group to foray into the logistics industry, RGL yesterday entered into a Management Rights Agreement with FTL Group, a leading freight forwarding and logistics solutions provider headquartered in Singapore.
|“We are pleased to partner FTL in this landmark collaboration. RGL will be in a position to help the Regal Group tighten cost control and lower logistics volatility. Going forward, we will continue to strengthen our offerings on logistics solutions and widen our base through alliances and partnerships with other established international players.”
-- Nelson Cho (left), Director of Regal Global Logistics, with Jarrod Lim, MD of FTL
FTL will grant management rights and practices to RGL for a period of six months, prior to RGL acquiring a 51% stake in FTL by way of a capital injection.
During the period, RGL and FTL will collaborate in overseeing and making joint decisions on the daily operations, management and running of the FTL’s transportation and logistics business.
Aspiring Logistics Partner – FTL Group
With sturdy track records and offices in Singapore, Malaysia, Thailand and Myanmar, FTL is able to offer clients complete solutions internationally for their end to end supply chain needs, being well-connected to a network of reputable and reliable partners worldwide.
The company’s key service offerings include freight management, charter management, and project management.
FTL was awarded the Promising SME 500 Business Luminary in 2014, which recognises the exceptional achievements of business leaders in Singapore, as well as their contributions to the economy and the community at large.
“We are honoured to have RGL pick us to collaborate together. Leveraging on their ample resources and network, we will be in the position to develop our business to the next level.” remarked Mr Jarrod Lim, Managing Director of FTL.
Veteran Leadership – Nelson Cho
Regal International welcomes Nelson Cho as Director of RGL. He will set up the business operations, while charting the company’s strategic alliances and long term growth plans.
He has over 30 years of experience in supply chain management and logistics-related activities like freight management, materials and supplies management, and cold supply chain.
He was the MD of SembCorp Logistics India from 2003 till 2009, steering the company to win the renowned Frost and Sullivan Award for best logistics service provider in India in 2005 and 2007.
Strategic Initiative of Regal Group
This is part of the Group’s efforts to establish a strategic presence in Singapore and to diversify into complementary ventures of growth.
|“As we work to build our presence in Singapore, the strategy is to diversify into areas complementary to the Group’s core property development business. We will leverage on FTL’s track record as a proficient logistics solutions provider to support the logistics needs of our customers in the Halal industry zone in CMQIP, hence fulfilling our vision of becoming a successful Halal Hub Industries park operator.”
-- Dominic Su, Executive Chairman and CEO of Regal International Group
(NextInsight file photo)
RGL will establish and provide logistics service at controlled and affordable pricing, for the sourcing and purchase of raw materials for property development, ensuring more competitive pricing and wider selection; as well as complement Regal International's vision to be a Halal hub Industries park operator.
In September 2016, Regal International signed a Heads of Agreement with the China-Malaysia Qinzhou Industrial Park Administrative Committee to develop a Halal Industry Zone within the Qinzhou Industrial Park (“CMQIP”).
Regal is to provide project expertise and enrol international businesses interested to endorse their products with Halal certification to set up operations in the CMQIP Halal Industry Zone.
RGL will offer logistics solutions for the import and export of Halal products from the Zone, in alignment with China’s “One Belt One Road” initiative.