Japan’s Sumitomo Warehouse said yesterday that its wholly owned subsidiary, J-WeSco, signed a contract to acquire a 100 percent stake in Westwood Shipping Lines, a U.S. shipping firm, for about $53 million, the Journal of Commerce reported.
At present, shares in the Federal Way, Washington-based Westwood Shipping Lines are all held by Weyerhaeuser NR, a wholly owned subsidiary of Weyerhaeuser, one of the world’s largest pulp and paper companies.
Sumitomo Warehouse said that it agreed to acquire Westwood Shipping Lines through J-WeSco as part of efforts to further expand its international operations.
Closing of the transaction is scheduled for Aug.31, 2011, Sumitomo Warehouse said.
Tokyo-based J-WeSco had obtained preferential negotiating rights to take over Westwood Shipping Lines and held negotiations with Weyerhaeuser NR in hopes of signing a final agreement in June or July.
According to Sumitomo Warehouse, Westwood Shipping Lines is engaged in services between North America and three Asian countries -- Japan, South Korea and China. The U.S. shipping firm’s annual revenue totaled $246 million last year.
Sumitomo Warehouse, based in Osaka City, Osaka Prefecture, western Japan, is mainly engaged in the integrated logistics business. The company posted about 130.4 billion yen (US$1.63 billion) in group revenue in fiscal 2010, which ended on March 31, 2011.
At present, shares in the Federal Way, Washington-based Westwood Shipping Lines are all held by Weyerhaeuser NR, a wholly owned subsidiary of Weyerhaeuser, one of the world’s largest pulp and paper companies.
Sumitomo Warehouse said that it agreed to acquire Westwood Shipping Lines through J-WeSco as part of efforts to further expand its international operations.
Closing of the transaction is scheduled for Aug.31, 2011, Sumitomo Warehouse said.
Tokyo-based J-WeSco had obtained preferential negotiating rights to take over Westwood Shipping Lines and held negotiations with Weyerhaeuser NR in hopes of signing a final agreement in June or July.
According to Sumitomo Warehouse, Westwood Shipping Lines is engaged in services between North America and three Asian countries -- Japan, South Korea and China. The U.S. shipping firm’s annual revenue totaled $246 million last year.
Sumitomo Warehouse, based in Osaka City, Osaka Prefecture, western Japan, is mainly engaged in the integrated logistics business. The company posted about 130.4 billion yen (US$1.63 billion) in group revenue in fiscal 2010, which ended on March 31, 2011.