Logistics firm Fast Group of the Chiongbian family has received P6 billion in capital from global private equity company CVC Capital Partners to accelerate its expansion amid expectations of robust growth.
William Chiongbian, Fast president and chief executive officer, in a press conference said the company is focused on food and healthcare, including the coming vaccines against the new coronavirus disease 2019, and other essentials to drive growth.
Brice Cu, managing director at CVC Capital Partners, said the injection of capital will support Fast’s organic and inorganic growth as well as mergers and acquisition and even an initial public offering.
Despite the pandemic, Fast has grown its revenues by 12 percent this year and expects faster growth in 2021 boosted by an improving economy and continued strong demand for food, pharmaceuticals and home care products.
Turnover in 2019 stood at $400 million.
Chiongbian said the company is investing in technology and in its warehouses to further improve its network.
Fast has the largest footprint in the country of 1.2 million square meters of space.
Fast has 53 branches, 2,500 fleet of various types, 11,000 workers and 400 subcontractors.
Founded by the Chiongbian family in the 1970s, the Fast Group is considered the market leader in logistics in the Philippines, serving enterprises of all sizes from the largest multinational companies and Filipino conglomerates to sari-sari stores and neighborhood groceries. The Group is present in transport logistics, warehouse management, selling distribution, toll manufacturing, and value-adding supply chain services.
CVC’s capital infusion in Fast is its third investment in the Philippines.
CVC currently manages approximately $109 billion of assets globally.