Menlo Worldwide, the global logistics subsidiary of Con-way Inc., has signed an agreement to purchase Chic Holdings Ltd. and its wholly owned subsidiaries, Shanghai Chic Logistics Co. Ltd. and Shanghai Chic Supply Chain Management Co. Ltd.

Menlo is acquiring privately held Chic Holdings Ltd., a corporation registered in the Cayman Islands, and all of its assets and subsidiaries for a cash payment of $60 million plus an undisclosed future earn-out incentive based on its performance.
Headquartered in Shanghai, Chic Logistics is a profitable, well-established provider of domestic third-party logistics and transportation management services in The People's Republic of China. The company has a full-service portfolio and network with 130 operating sites in 78 cities, providing superior coverage of China's highly industrialized eastern sectors as well as the mainland's interior provinces. One of China's fastest-growing third-party logistics firms, Chic Logistics produced revenues of $55.2 million in 2006, a 40 percent increase over 2005.
Combined, the two companies will comprise more than 1,500 employees in China operating from 139 sites in 79 cities, with nearly 180,000 square meters of warehouse space under management. Menlo's China operations will be based at Chic Logistics' headquarters in Shanghai.