Japans Kamei Corp. purchased Lee Huat Yap Kee Pte, of Singapore, March 27, an acquisition that gives it entry into the marine lubricant and base oils markets.
LHYK and its subsidiaries are a distribution group involved in the storage, delivery and supply of marine lubricating oil and base oils.Kamei distributes a wide variety of products in Japan, including lubricants.
Through this acquisition, we expect to not only expand and strengthen our energy business in Singapore, but also to build a base for further growth into the expanding Southeast Asia [market], Kamei stated in a press release.
The companies did not disclose the value of the transaction.
Kamei officials have said they see advantages in increasing the range of goods and services the company can offer to customers.
By expanding our global network and in turn improving our collective strength, Kamei is in a position as a general trading company to provide comprehensive one-stop solutions to meet these needs and resolve the multitude of issues facing our customers, President and CEO Fumiyuki Kamei said in a message on Kameis website.
Kamei is involved in eight business segments: energy, food, housing, automotive, international trade, pets, pharmacy and others. From Singapore it sells bunker fuel for Asia and Oceania, acting as an agent for the purchasing and brokering of fuel oil and kerosene. It is also involved in the import and export of various food products, commodities and industrial goods in Asia. Total sales for the financial year ending March 2014 were 569 billion (U.S. $4.8 billion).
According to Singapores Maritime and Port Authority, the country is the busiest port in the world in terms of shipping tonnage, with some 120,000 vessels calling annually. It is one of the top bunkering ports in the world, lifting about 30 million tons of bunkers annually.