Toll's Asian footprint expands with Qantas deal

The acquisition of DPEX Group is expected to complement its Toll Global Express (TGX) division, contribute $30m of revenue to the group and be earnings per share accretive in year one, Toll managing director Paul Little said.

“DPEX will support Toll’s ongoing growth and development in the region,” Mr Little said.

“It is an important addition to TGX’s Asia Pacific operations which acquired Deltec, Skynet and Kwikmail businesses in the middle of last year and will provide additional scale and coverage across a network of 19 countries in Asia.”

The expansion of the Toll Priority network throughout Asia is an important component of the TGX growth strategy.

For Australia's biggest airline, which bought DPEX in 2007, the sale of its Asian freight and courier business would allow it to focus more on core operations, Qantas said.

"The sale excludes the airline’s stake in the DPEX Australian operation," the carrier said.

The transaction is subject to approval by China’s competition regulator.