HAISAN RESOURCES BHD has entered into a joint venture agreement with Prestige Frozen Sdn Bhd to establish a transportation company, IGC Logistics Sdn Bhd (IGC), in which Haisan will have a 51% stake.

Haisan said the move was to enhance its ability to provide more extensive distribution and transportation services to complement its temperature-controlled logistics (TCL) and warehousing businesses.

It had also agreed to purchase the 51% stake for RM255,000, which is equivalent to 255,000 ordinary shares, a company statement said.

As the transportation and distribution arm of Haisan’s TCL operations, IGC will have a fleet of refrigerated trucks of various sizes that meet the needs of the group’s growing customer base.

These vehicles would ply various routes between Malaysia and Singapore, Haisan said.

“Besides ensuring that products are manufactured and stored in an optimum quality environment, the manner in which products are transported also plays a vital part in coldchain logistics management,” managing director Ong Chin Yet said in the statement.

He said going forward, Haisan planned to invest in additional refrigerated trucks in the near future, a strategy to become a regional transport provider for coldchain logistics. - Bernama