PETALING JAYA: KGW Group Bhd’s growth is expected to be driven by expansion plans that are in line with the centralisation of its entire operations as it relocates to Shah Alam.

       Public Investment Bank (PIB) Research said the logistics provider has completed the purchase of a three-storey office building in December 2022 for a total purchase consideration of RM20.20mil.

       KGW said the new property will provide space flexibility for enhanced warehouse operations mainly through efficient design of storage layout and optimal use of equipment.

       The group also plans to purchase new equipment such as forklifts, pallet racking systems and trucks, among others, as an effort to enhance its warehouse and distribution capabilities, which is expected to arrive within 12 months from KGW’s relocation to its new premises.

       Ad

       {"uid":"9","hostPeerName":"https://www.thestar.com.my","initialGeometry":"{\"windowCoords_t\":10,\"windowCoords_r\":955,\"windowCoords_b\":1030,\"windowCoords_l\":10,\"frameCoords_t\":1587.96875,\"frameCoords_r\":606,\"frameCoords_b\":1837.96875,\"frameCoords_l\":306,\"styleZIndex\":\"auto\",\"allowedExpansion_t\":0,\"allowedExpansion_r\":0,\"allowedExpansion_b\":0,\"allowedExpansion_l\":0,\"xInView\":0,\"yInView\":0}","permissions":"{\"expandByOverlay\":false,\"expandByPush\":false,\"readCookie\":false,\"writeCookie\":false}","metadata":"{\"shared\":{\"sf_ver\":\"1-0-40\",\"ck_on\":1,\"flash_ver\":\"0\"}}","reportCreativeGeometry":false,"isDifferentSourceWindow":false,"goog_safeframe_hlt":{}}" scrolling="no" marginwidth="0" marginheight="0" width="300" height="250" data-is-safeframe="true" sandbox="allow-forms allow-popups allow-popups-to-escape-sandbox allow-same-origin allow-scripts allow-top-navigation-by-user-activation" role="region" aria-label="Advertisement" tabindex="0" data-google-container-id="9" style="border: 0px; vertical-align: bottom;">

       KGW said it will be providing its ocean or air freight clients warehousing services within Klang Valley if needed without any incurrence of additional rental costs, as the group plans to promote its warehousing services to other prospective customers.

       “For customers who have engaged KGW to provide warehousing services, the group will begin to store their goods in-house upon its relocation to the new premises,” added PIB Research in a report on KGW.

       With bigger office space, the group intends to expand its headcount to strengthen its marketing and business development functions for its logistics services business.

       StarPicks

       Harnessing the power of Youth

       PIB Research noted that KGW will be hiring additional employees for its sales and marketing, international business development and customer service divisions as part of its expansion plans for added support.

       KGW also intends to approach local businesses such as retail pharmacy chains, authorised representatives of international healthcare companies and small medium enterprises involved in manufacturing, retailing and distribution of healthcare-related products and devices, to offer its warehousing and distribution services.