Dubai-listed courier company Aramex (ARMX.DU) said it has acquired Florida-based e-commerce company Access USA Shipping LLC (MyUS) in an all-cash deal of about $265 million.

The deal is Aramex's largest acquisition to date and is aimed at increasing its competitiveness in the cross-border e-commerce space.

About MyUS

Founded in 1997 and now 25 years old, MyUS is a super-established e-commerce company that was founded only three years after Amazon. MyUS' primary business is consolidation, primarily serving global users who want to shop on U.S. and U.K. e-commerce sites.

Users register on MyUS, get a MyUS address, then shop at any retail online store in the U.S. or U.K. and specify that the items be delivered to that address. When the order is consolidated and shipped, it is sent to the customer's overseas address.

In 2021, MyUS generated more than $100 million in revenue and delivered 1.1 million packages to customers shopping at retailers in the U.S., U.K., and China. The company has approximately 180,000 active customers.

Post-acquisition

MyUS will retain its brand and "complement Aramex's e-commerce solutions platform, Shop & Ship," as part of Aramex's Express division, the statement said. MyUS will retain its brand and "complement Aramex's e-commerce solutions platform, Shop & Ship".

Ramesh Brusu

Ramesh Brusu, CEO of MyUS, said, "We are ready to leverage Aramex's extensive global network, scale, knowledge, and expertise to bring our products and solutions to new markets that have shown attractive characteristics, such as the Middle East and North Africa region, the UK and Australia. "

Impact on Aramex.

Aramex said the acquisition is expected to further strengthen Aramex's cross-border express business by increasing shipment volumes, expanding its customer base, and broadening its coverage in new origins and destinations.

"Our shareholders will see an immediate impact on financial results, and in the long term we can unlock more value through operational and cost synergies," said Othman Aljeda, Aramex's chief executive officer.

"Our customers will benefit from further enhanced network coverage and superior service from the first mile to the last mile. Our employees will benefit from knowledge sharing and further development of their expertise in the cross-border courier business, including learning and adoption of MyUS' leading proprietary software."

According to Aramex's August earnings report, second-quarter net income fell 32 percent year-over-year to 44.6 million dirhams (about $12.1 million) as revenue declined due to lower courier volumes. Aljeda said at the time that global e-commerce activity slowed as consumers returned to brick-and-mortar stores as epidemic restrictions eased, and higher inflation was squeezing discretionary spending.