ECU Worldwide, the market leader in less-than container load (LCL) consolidation and Nordicon, the leading ocean freight consolidator in the Nordic region has announced a global partnership agreement.
The partnership will see the creation of a holding company, where ECU Worldwide will hold a 65% stake and 35% by the present owners of Nordicon. The business will continue to operate under the existing Nordicon name without disruptions and with expanded global capabilities.
The partnership agreement brings together two leaders in the fast-growing global LCL segment, which creates a better platform to grow in both ocean LCL/FCL as well as rail freight across Europe. The move will help freight forwarders who are looking at flexible and time-bound logistics solutions for the Nordic region.
ECU Worldwide operates under Allcargo Belgium NV, a wholly owned subsidiary of India-based Allcargo Logistics, a global multimodal logistics major.
Shashi Kiran Shetty, Chairman, Allcargo Logistics and ECU Worldwide said, “The acquisition of Nordicon is in line with our vision of consolidating our market leadership and partnering with entrepreneur-led companies that allow us to expand to new territories, led by a capable team to drive our digital aspirations. The combination of our global networks and industry competencies will offer long-term value creation and help us to continue to remain dedicated to exceed client expectations.”
Speaking on the partnership agreement, Tim Tudor, CEO, ECU Worldwide said, “Nordicon has built a high-performance business driven by strong entrepreneurial energy. The strategic and culture fit with ECU Worldwide are key reasons for this partnership. We recognise that Nordicon as the market leader in the Nordic region will add value to ECU Worldwide’s global network. In addition to expansion in an important market, this partnership allows us to expand our multi-modal offering through rail freight consolidation across Europe.”
Nordicon is the leading ocean freight consolidator in the Nordic region with near 40% market share in the LCL segment.
The global partnership will also create opportunities for sustainable growth for Nordicon within the ECU global network, while ECU builds its global strength in the Nordic region. It will allow both partners to have a common focus on global accounts.
For a seamless transition, Nordicon will continue using its existing customer service platform, My Nordicon, and integrate it into ECU Worldwide’s global tech network.
Commenting on the partnership, Linus Ahlm, CEO, Nordicon Group said, “Nordicon has decided to change global network to ECU Worldwide to create the best opportunities for sustainable growth in the future and are very happy to commit to this long-term partnership. The global strength of ECU Worldwide is a perfect match with Nordicon’s leading position in the Nordics which will add value to our people and customers. We were attracted by the complementary strengths and the common focus on digital innovation to drive leadership through this partnership. We will be stronger and better together.”
