UAE’s logistics support firm Aramex has entered into an agreement to sell its subsidiary Information Fort (InfoFort), the document storage and clearing services provider, to US-based global leader of information management services company, Iron Mountain.
Upon the completion of the transaction, Aramex will not hold any stake in InfoFort. The value of the likely deal has not yet been revealed, but Aramex informed that the company’s board of directors have approved the deal.
Aramex has not given any formal reasons for the sale, but the company is focusing on the high margin producing aspects of their business. The deal will strengthen the balance sheet of Aramex and result in a more focused group, consistent with the long-term strategy of management to focus its operations on the core services of logistics solutions, according to the report.
The acquisition of InfoFort is subject to the usual terms of closure, including applicable regulatory approvals. The logistics company has stated that it will disclose the details of the deal upon closing, which is expected to happen in the third quarter of 2021.
“Today’s sale of InfoFort is a major milestone for Aramex, which will allow the group to focus entirely on growing the group’s core logistics businesses globally. We are pleased that Iron Mountain recognizes the strength and position of InfoFort as a market leader in the region, as well as its future potential. We are confident that under Iron Mountain’s stewardship, InfoFort will continue to grow and lead the industry in the region.”
“We look forward to soon welcoming InfoFort customers and employees to Iron Mountain. InfoFort’s business and expertise are a natural extension of our solutions, further building on our commitment to facilitate customers’ transformation journeys and solving their evolving business challenges,” commented Ernest Cloutier, Executive Vice President and General Manager of Global Records and Information Management at Iron Mountain.