Brookfield Asset Management has reached an agreement to acquire World Freight Company (WFC), the world's largest general sales and service agent (GSSA) for the global air freight industry, from investment firms EQT and PAI Partners for an enterprise value of approximately $1.2 billion. The transaction is subject to customary closing conditions and is expected to complete by the end of 2026.
Founded in Paris in 2004, WFC is now the world's largest GSSA for the global air freight industry. The company represents more than 300 airlines across 3,500 trade lanes and works with over 16,000 freight forwarders in more than 80 countries. WFC's network manages more than 3 million tons of cargo capacity annually for its airline partners. The GSSA model provides airlines with exclusive selling rights of cargo capacity in specific territories or regions at agreed terms, reducing airlines' costs.
Under the ownership of PAI and EQT, the company completed 20 acquisitions and added operational and digital capabilities across its network. PAI Partners and Baring Private Equity Asia (later merged into EQT in 2022) acquired WFC in 2018 in a deal valued at approximately €600 million, each owning a 50% stake. The sale comes amid global transportation volatility, as the Iran war has driven up fuel prices and air freight rates, causing serious disruptions in air traffic and shipping routes.
New York-headquartered Brookfield is an investment firm that manages more than $1 trillion in assets across infrastructure, energy, private equity, real estate and credit. Alex Yang, Managing Partner, Private Equity at Brookfield, said: "World Freight Company is a high-quality platform operating in a critical segment of the resilient global air freight ecosystem, supported by long-standing customer relationships. With its global scale, local capabilities and leading market position, WFC is well positioned to benefit from industry consolidation." Brookfield has historically invested in railroads and ports and continues to focus on infrastructure linked to global trade, supply chains and industrial activity.
Vikram Singh, Group CEO of WFC, said: "We would like to thank PAI and EQT for their support and partnership over the past several years. Together, we have materially strengthened WFC's platform, expanded our capabilities and continued to invest in innovation and customer service. We are excited to partner with Brookfield as we continue executing our growth strategy and supporting our airline and freight-forwarding customers globally." Deutsche Bank is serving as lead financial adviser to PAI, EQT and WFC. Note: This summary draws on Supply Chain 247 and multiple international sources' publicly visible headline + subhead + opening paragraph and on sector background on M&A dynamics in the air cargo GSSA industry.
Key Takeaways:
1. Brookfield Asset Management is acquiring World Freight Company (WFC) from EQT and PAI Partners for an enterprise value of $1.2 billion.
2. WFC is the world's largest air cargo GSSA, serving over 300 airlines across 3,500 trade lanes in more than 80 countries.
3. The company manages more than 3 million tons of cargo capacity annually and works with over 16,000 freight forwarders.
4. Under PAI and EQT ownership, WFC completed 20 acquisitions and enhanced its digital and operational capabilities.
5. The transaction comes amid global transportation volatility driven by the Iran war's impact on air freight rates and fuel prices, and is expected to close by end-2026.
