By: Amy M. VosslerFor The Wall St. JournalBy Amy M.-Vossler,JANUARY 24, 2020 11:15:45A year after buying logistics company Logistics Inc., Amware Holdings Inc. plans to use its massive acquisition of the company to bring to market its latest technology to help automate the logistics work of thousands of warehouses.
Amware Chief Executive Officer Michael Ollendorf said in a news conference that the acquisition, known as Logistics Innovation, is aimed at bringing logistics operations to “a level that has never been seen before.”
The transaction, which is expected to close in the fourth quarter of 2020, will give Amware an estimated $250 million to $350 million in revenue per year for five years.
It is expected that Amware will use Logistics in the fulfillment of orders for Amazon, eBay, Whole Foods, Costco and other major retailers.
Ollenderf said the deal will create 1,000 jobs and “create an entirely new industry.”
Amware has a workforce of about 12,000, with about 1,300 people in the United States.
Its U.S. headquarters are in San Francisco.
The deal with Logistics, which operates in more than 30 countries, is part of a broader effort to reshape logistics and warehousing, which Amware is already focused on for its logistics operations in the U.K. and China.
It also is a major contributor to the industry.
It has been investing in logistics operations as it seeks to compete in the increasingly global retail business.
It says it has about 1.5 million employees, but that it expects to grow its U.k. workforce by 50 percent over the next five years, and to double its Chinese workforce to 2.5 percent by 2020.
In the U:Logistics Innovation is the culmination of years of talks between Amware and Logistics over the company’s logistics operations.
In April, the companies agreed to a five-year agreement to sell Amware’s logistics business, called Logistics International, to Logistics Holdings.
The deal is worth an estimated 10.8 billion pounds ($14.7 billion), according to Bloomberg estimates.
Amos is also working with Logistic in a $1 billion acquisition, the first for Logistics Holding.
Amware says Logistics will use its technologies to support the warehousing of orders in warehouses.
The company says it will be able to reduce the amount of time and effort needed to get goods to customers and provide customers with faster delivery.
Amers is also partnering with Logic to help it in the wareroom business.
Amers said it has created a new platform called the E-Hub that can deliver goods directly to customers, without having to leave the warehouse.
The E-Hive will be integrated into the company warehouses and will offer a seamless service to help customers get products to their customers quickly.
The logistics service will help reduce costs, as well as the number of logistics workers needed to do the jobs in the warehouse, Amers says.