Lufthansa Cargo Acquires German Airport Ground Handling Company
Lufthansa Cargo, the logistics subsidiary of Deutsche Lufthansa Group (XETRA: LHA), has agreed to acquire airport service provider LUG air cargo handling GmbH. The acquisition aims to enhance ground operations at Frankfurt, Munich, and Hamburg airports in Germany by improving efficiency for freight services. This move is expected to increase capacity for its own shipments while diversifying revenue through third-party airline business. The transaction requires regulatory approvals but will allow the acquired company to continue operating independently without service disruptions. LUG currently manages over 538,000 square feet of warehouse space and employs around 400 people. The acquisition aligns with Lufthansa Cargo's strategy to modernize infrastructure in Germany for greater flexibility and resilience. In addition to the purchase, Lufthansa is investing $682 million into a new cargo terminal at Frankfurt airport featuring automated systems to boost handling capacity. This follows recent integrations of cross-border logistics services under GlobeCross GmbH, aiming to streamline e-commerce freight solutions.
