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KLN (company)

KLN Logistics Group Limited is an Asia-based global (3PL) provider headquartered in , , offering comprehensive solutions including integrated , international freight forwarding, fulfillment, industrial project , and investment. Founded in 1981 as part of the , the originally operated under the name Kerry Logistics Network Limited before to KLN Logistics Group Limited in early 2025 to establish a unified global identity and reflect its evolution as the international arm of its parent , S.F. Holding Co., Ltd., which acquired a controlling 51.53% stake in 2021. KLN maintains a strong presence in emerging markets, operating across 58 countries and territories with a focus on the Chinese Mainland, , , the (CIS), the , (LATAM), and key international gateways. The company employs over 18,000 people worldwide and manages more than 57 million square feet of facilities, along with a fleet of over 2,200 self-owned vehicles, enabling it to handle high-volume freight via air, ocean, road, rail, and . In fiscal year 2024, KLN reported revenue of HK$58.274 billion, marking a 23% year-over-year increase, with core net profit reaching HK$1.357 billion amid robust growth in its international freight forwarding segment. Listed on the Hong Kong Stock Exchange under stock code 0636 since 2000, KLN is recognized for its sustainability efforts, holding constituent status in the Hang Seng Corporate Sustainability Benchmark Index and earning awards such as the tenth consecutive Asian 3PL of the Year title in 2025.

Company profile

Founding and headquarters

The origins of Kerry Logistics Network trace back to 1981, when Kerry Warehouse (Hong Kong) Limited—initially known as Kwai Chung Godown Limited—was established by the Kuok Group to commence warehouse operations in Hong Kong. This entity completed its first facility, Kerry Warehouse (Kwai Chung), marking the entry into the logistics sector under the broader Kuok Group's diversification efforts in Asia. In 1991, Kerry Logistics Network Limited was formally incorporated in the as a wholly-owned of Kerry Holdings Limited, a key arm of the Kuok Group, specifically to oversee and expand the warehousing business in . This incorporation laid the structural foundation for integrating operations, transitioning from standalone warehousing to a more coordinated network model. The company's headquarters are located at the Kerry Cargo Centre, 55 Wing Kei Road, , , . 's strategic positioning adjacent to 's primary container terminals—handling approximately 76% of the port's throughput—establishes it as a vital gateway for Asian trade routes, facilitating efficient distribution across the region. From its inception, Kerry Logistics Network concentrated on warehousing and distribution services in , leveraging the territory's role as a premier for goods entering and exiting and . These early operations emphasized storage solutions for import-export , capitalizing on 's free port status and connectivity to global supply chains.

Ownership and listing

KLN Logistics Group Limited is publicly listed on the Main Board of the under the stock code 636 (SEHK: 636). The company completed its on December 19, 2013, raising approximately HK$2.2 billion (equivalent to about $280 million) through the issuance of 595.9 million shares at an offer price of HK$3.70 per share. As of June 30, 2024, the major shareholders of KLN Logistics Group Limited include , which holds a controlling stake of 53.82% through controlled corporations such as Mingde Holding Development Co., Ltd., making it the dominant owner and integrating KLN as the international arm of the Group. maintains a significant of 20.84%, representing a key ongoing interest from the 's legacy structure. Additionally, holds 32.97% through its subsidiaries, underscoring the intertwined ownership between the SF and Kerry entities post the 2021 acquisition. KLN Logistics Group Limited is recognized for its efforts and is a constituent of the Hang Seng , reflecting its to (ESG) principles as evaluated by Hang Seng Indexes Company Limited. In October 2025, the company achieved an upgraded A+ rating under the Hang Seng Series (2025-2026), further solidifying its index inclusion. In March 2025, following shareholder approval at a special general meeting on March 28, the company rebranded from Kerry Logistics Network Limited to KLN Logistics Group Limited, enhancing its global brand identity while preserving its stock code and exchange listing. This rebranding, effective from that date, aligns the corporate name more closely with its established acronym and supports its strategic positioning under majority Holding ownership without altering its public market status.

History

Establishment and early development (1981–2000)

Kerry Logistics Network (KLN), originally known as Kwai Chung Godown Limited, was established in 1981 in , launching its warehousing services with the completion of its first facility, Kerry Warehouse (), strategically located adjacent to the Kwai Chung Container Terminals. This initial venture capitalized on 's emergence as a global trade gateway, providing essential storage solutions amid surging container traffic and export growth in the region. The company, a of Kerry Properties Limited under the Kuok Group, focused on building a robust warehousing infrastructure to support the territory's burgeoning needs. From 1981 to 1999, KLN operated primarily as an asset-based warehousing provider in , owning and managing its facilities to ensure operational control and adaptability in a competitive market driven by time-sensitive shipments and space constraints. By , the company had developed five warehouses and acquired one more, achieving approximately 2 million square feet of gross floor area, which allowed it to handle diverse storage requirements efficiently. This ownership model offered flexibility, enabling quick responses to fluctuating demand in Hong Kong's sector, where throughput exceeded 10 million TEUs annually by the late . Early efforts also incorporated basic services within warehousing operations, facilitating and for clients. In the late , KLN expanded its facilities significantly, culminating in the completion of the Kerry Cargo Centre, a 1.44 million complex that enhanced capacity for high-density storage and marked the attainment of substantial scale in before venturing abroad. Diversification accelerated around this period, with trucking services introduced in 2000 to integrate transportation directly with warehousing, providing end-to-end solutions tailored to (FMCG) and manufacturing sectors prevalent in Hong Kong's export-oriented economy. These services addressed the just-in-time delivery demands of manufacturers relocating from to and FMCG distributors handling perishable and high-turnover products. By the end of the decade, this buildup positioned KLN as a key player in local , with owned assets ensuring reliability amid Asia's economic boom.

Expansion and public listing (2001–2013)

Following its establishment in , Kerry Logistics Network (KLN) began expanding internationally in the early , targeting key markets in and to broaden its integrated capabilities. In 2002, the company entered the Southeast Asian market by establishing operations in , where it developed a major logistics center in , spanning 181,000 square feet and completed in 2003 to support warehousing and distribution services. That same year, KLN acquired an initial 91% equity interest in a UK-based entity, forming Kerry Logistics (UK) Limited, which served as its primary foothold for freight forwarding operations in . Over the subsequent decade, KLN aggressively grew its network across multiple Asian countries, including expansions into with a 267,000-square-foot facility in 2006, , and further developments in such as the Yantian logistics center in 2003. To diversify beyond integrated , the company ventured deeper into freight forwarding through strategic acquisitions, notably securing a 70% stake in Wisdom Logistics in 2011 and 51% interests in Tengchang and TCI in 2012, enhancing its capabilities in international cargo handling and . In 2007, KLN launched KART, an ASEAN-wide cross-border road network initiated in , further solidifying its regional connectivity. By , these efforts had positioned KLN with operations in over a dozen Asian locations, alongside presences in the and , setting the stage for public listing to fuel continued growth. In preparation for its (IPO), KLN focused on infrastructure investments, including a 371,000-square-foot regional hub in that commenced operations in 2013, aimed at supporting broader Asian and global expansion. The IPO occurred on December 19, 2013, when 216,071,500 shares were listed on the Main Board of The of Limited, priced between HK$8.80 and HK$10.20 per share, raising approximately HK$2.06 billion at the high end. Proceeds were primarily allocated to capital expenditures and acquisitions—51% for new facilities in and , as well as global opportunities in the , , and —to accelerate network development and enhance competitive positioning. This listing marked KLN's transition to a publicly traded entity, enabling scaled investments in its international footprint.

Global growth and rebranding (2014–present)

Following its in 2013, KLN significantly expanded its global footprint, growing its network to cover 59 countries and territories by 2024. This post-IPO scaling included strategic entries into emerging markets such as the (CIS), the , and (LATAM), enhancing its multimodal freight capabilities and diversification. For instance, in 2017, KLN formed a to bolster its presence in and the CIS, tapping into high-growth potential in those regions. A key milestone in this expansion was the deepened integration of Indev Logistics in , where KLN increased its stake to 50% in 2016. Originally established in 1984 as Indev Logistics and rebranded as Kerry Indev following an earlier , the entity provided KLN with enhanced capabilities in the , including contract logistics and project cargo services. This acquisition strengthened KLN's position in , contributing to its broader international network without relying solely on the Kerry family branding. In 2021, S.F. Holding Co., Ltd. acquired a controlling 51.53% stake in KLN, marking a significant shift in ownership and positioning the company as the international arm of the Chinese logistics giant. In March 2025, KLN underwent a major rebranding to KLN Logistics Group, signaling its evolution into a more independent, diversified entity beyond its historical ties to the . The rebrand aimed to unify its global identity and highlight its expanded portfolio across services. Complementing this shift, a new launched in 2024 delivered revenue contributions exceeding HK$200 million in its inaugural year, surpassing initial projections and underscoring KLN's strategic partnerships in high-potential markets. Amid 2024's challenging market conditions, including geopolitical tensions and disruptions, KLN demonstrated resilience by achieving revenue growth to HK$58.4 billion, a notable increase from HK$47.4 billion in 2023. This performance reflected effective cost management and demand recovery in key sectors, positioning the company for sustained global expansion under its new branding.

Services

Integrated logistics solutions

KLN provides comprehensive integrated logistics services that encompass end-to-end , including storage, warehousing, trucking, and solutions. The company's warehousing operations span 57 million square feet globally, enabling efficient inventory handling and distribution across diverse markets. These services are supported by advanced infrastructure investments, such as owned warehouses and transportation assets, which allow KLN to maintain control over critical elements and ensure reliability in operations. A key component of KLN's integrated offerings is its extensive fleet of over 2,200 self-owned vehicles dedicated to and , facilitating seamless domestic and regional movement of goods. This fleet enables options, combining trucking with services to optimize efficiency and reduce transit times for bulk shipments. Trucking services include line-haul and last-mile , supported by GPS tracking and electronic proof-of- systems for visibility. KLN tailors its integrated logistics solutions to specific sectors, including , , and (FMCG), with specialized capabilities in for and beverage products. For and FMCG clients, services feature value-added operations like pre-retailing, , and returns handling to support high-volume, time-sensitive distributions. In , solutions focus on industrial project , incorporating and coordination to streamline production supply chains. integrity is maintained through multi-temperature controlled facilities and validated reefer vehicles, ensuring compliance with standards for perishable goods such as pharmaceuticals and frozen items.

Freight forwarding and supply chain

KLN offers comprehensive international freight forwarding services, encompassing air, , , , and multimodal transportation options across its global network spanning 58 countries and territories. As an IATA-accredited agent, the company provides end-to-end air freight solutions, including origin pick-up, consolidation, and delivery, while its freight capabilities leverage non-vessel operating (NVOCC) status for efficient containerized shipments, such as ranking as the top Trans-Pacific NVOCC. and services support overland transport within key regions, often integrated into multimodal routes for optimized routing and cost efficiency. In , KLN emphasizes real-time visibility through its KLN Online platform, which enables tracking of freight, , purchase orders, and deliveries. The company handles clearance via dedicated brokerage services, employing multilingual professionals to ensure and seamless border crossings. For perishable goods, KLN provides specialized handling, including solutions for food, beverages, and pharmaceuticals to maintain integrity throughout transit. These elements complement broader integrated , such as warehousing, to deliver streamlined . KLN's project logistics division focuses on industrial projects, offering tailored freight forwarding with specialized equipment for oversized or heavy . This includes air chartering, block space agreements with airlines, and on-board courier services for time-sensitive deliveries in sectors like and . Key capabilities are exemplified by 24/7 operations at major hubs, such as the London Heathrow facility, which supports air freight with round-the-clock customs clearance, real-time tracking, and perishable handling.

E-commerce and specialized logistics

KLN provides comprehensive solutions tailored for online retail, encompassing , last-mile , and bonded warehousing services. These offerings support (B2B), business-to-consumer (B2C), and business-to-business-to-consumer (B2B2C) models through omni-channel fulfillment centers that handle picking, packing, relabeling, and at both origin and destination points. Last-mile includes domestic express options with cash-on-delivery and remittance, while bonded warehousing facilitates efficient customs clearance and storage for cross-border shipments, enabling seamless integration into global supply chains. In specialized , KLN excels in management for perishable goods, offering multi-temperature solutions ranging from ultra-deep frozen (-45°C) to chilled (0°C to 4°C) storage and transportation. These services ensure complete integrity for food and beverage (F&B) products, pharmaceuticals, and other temperature-sensitive items, serving chains, hotels, and healthcare providers with end-to-end visibility and compliance. Additionally, KLN invests in in emerging markets, such as expanding facilities in , (including , , and ), and the , to support growing demand for advanced project and regional diversification. KLN's innovation in this sector is driven by digital platforms like KLN Online, a IT system that provides tracking for inventory, freight, purchase orders, and deliveries, with integrations for enhanced connectivity. Recent enhancements include an Smart Assistant supporting queries in over 100 languages, improving accessibility for and specialized operations. These tools enable data analytics, for returns, and automated sortation, fostering efficiency in niche . The segment has been a key growth driver for KLN, particularly post-2020, amid the global surge in accelerated by the . In 2020, the company achieved a 30% increase in to HK$53.4 billion, with core operating rising 20%, driven by for integrated including fulfillment and cross-border e-commerce services. This momentum continued, with e-commerce and advanced logistics contributing to the company's 23% revenue growth to HK$58.274 billion in fiscal year 2024, forming a significant portion of its diversified revenue streams.

Regional operations

Mainland China and Taiwan

KLN maintains its core operations in , where it has established a dominant presence in integrated services tailored to the sector. As of 2024, the company's revenue from operations reached HK$18.51 billion, reflecting sustained growth amid shifting global supply chains. This segment contributes significantly to KLN's overall portfolio, with integrated generating HK$6.06 billion and international freight forwarding adding HK$16.01 billion in the same year. KLN operates 13 major centers across the region, encompassing approximately 10 million square feet of facilities, including self-owned and leased spaces focused on warehousing, , and value-added services for electronics, automotive, and consumer goods manufacturers. Notable examples include the 1.2 million square foot Fengxian center and the 1.0 million square foot facility, both fully owned and equipped for high-volume throughput. In , KLN holds a substantial stake in Kerry TJ Logistics Company Limited, a key subsidiary listed on the (stock code: 2608), through which it provides specialized freight and distribution services. This investment enables KLN to leverage Kerry TJ's expertise in less-than-truckload , handling, warehousing, and refrigerated , supporting cross-strait flows. Kerry TJ operates a network of over 1,000 locations island-wide, facilitating efficient domestic and for industries such as and beverage and e-commerce. Greater China serves as KLN's strategic cornerstone, with extensive warehousing and advanced cold chain infrastructure enabling seamless exports of perishable goods, particularly food and beverages, to global markets. These operations underscore KLN's focus on supply chain resilience, integrating manufacturing support in with agile distribution in to handle volatile demand. A significant portion of KLN's global workforce is based in this region, driving operational efficiency and local market leadership.

Southeast Asia and India

KLN established its operations in in 2002, initially focusing on integrated and international freight forwarding in to capitalize on the region's burgeoning trade dynamics. This entry laid the foundation for a broader regional footprint, encompassing key markets such as , , , and , where the company provides freight solutions integrating air, ocean, road, and to optimize trade routes across . These services emphasize efficiency in cross-border movements, supporting the influx of goods in high-growth economies driven by manufacturing and consumer demand. In , KLN has developed extensive infrastructure, managing over 9.6 million square feet of self-owned and leased facilities across four major logistics centers in , , and . These assets enable comprehensive warehousing, nationwide distribution, and terminal handling at KLN Seaport, a critical gateway for cargo flows. Beyond , facilities in , such as the 108,000-square-foot Kerry Hung Yen Logistics Centre near and the Danang Logistics Centre, further bolster regional capabilities for operations. KLN's emphasis remains on end-to-end solutions tailored for and sectors, addressing the diverse needs of high-growth areas like and through customized . In February 2025, KLN formed a named POSCO Flow (Thailand) with a of South Korean steelmaker Group through its Kerry Siam Seaport , to strengthen steel capabilities in and . In , KLN maintains operations via a 50% stake in K-Indev , a headquartered in and founded in 1984, accumulating over 40 years of specialized expertise in the subcontinent's landscape. The , formalized in 2016 through an increased equity position, rebranded the entity as K-Indev to integrate KLN's global proficiency with Indev's established domestic network. Services encompass Warehousing Zones (FTWZ), bonded warehousing for duty-deferred storage, and project for heavy and oversized cargo, all designed to streamline import-export processes and compliance. K-Indev Logistics prioritizes end-to-end solutions for retail and manufacturing clients, exemplified by its 150,000-square-foot FTWZ facility located 8 km from Mundra Port, which facilitates efficient handling of goods for sectors like apparel and consumer products. Additional FTWZ operations in Sriperumbudur near Chennai support southern and eastern Indian markets, offering bonded storage and customs brokerage to reduce lead times and costs. This focus aligns with India's economic growth, providing robust infrastructure for high-volume trade in emerging industries.

United Kingdom and Europe

KLN's presence in the commenced in 2002 with the acquisition of an initial 91% equity interest in Kerry Logistics (UK), which has since evolved into KLN Freight (UK) Limited, a key focused on freight forwarding and services. This entry marked the company's initial foray into markets, establishing a foundation for international expansion beyond . Today, KLN Freight (UK) Limited operates multiple facilities across the country, including strategic sites at London Heathrow Airport and Bradford's Newhall Business Park, which support round-the-clock air freight operations, warehousing, and distribution to major airports and seaports. Building on its UK base, KLN has developed a comprehensive European network spanning the broader EMEA region, with offices and logistics hubs in countries such as the Netherlands, Germany, and beyond, facilitating seamless connectivity for cross-border trade. Services in this network include specialized customs brokerage and clearance, leveraging AEO accreditation to streamline compliance, as well as advanced cold chain solutions for temperature-controlled transport of perishable goods like pharmaceuticals and food products. These capabilities ensure efficient handling of imports and exports, integrating air, ocean, road, and rail modalities to support diverse industries including fashion, electronics, and fast-moving consumer goods. Regional coordination is managed through the wholly owned subsidiary KLN Logistics Holding (EMEA) Limited, incorporated in 2012 and headquartered in Manchester, which oversees operations, investments, and strategic alignment across , the , and . In the context of post-Brexit trade dynamics, KLN has prioritized enhancements to UK-EU , providing real-time tracking via advanced IT platforms and tailored perishable handling to mitigate and regulatory complexities at borders. This focus has enabled the company to assist clients in maintaining resilient supply chains amid evolving requirements and structures.

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