Dubai's Aramex paid $55.5 million from its internal cash balance for the acquisition of South African logistics firm Berco Express, the company said in a statement on Tuesday.

The UAE-based logistics company said on Sunday that it had completed the acquisition of Berco and would look to further expand across Southern Africa by opening additional offices and warehouses.

" ... the investment cost in the acquisition reached $55.5 million and it was completely financed through Aramex' existing cash balance," the company said in a statement to the Dubai bourse.

The acquisition is part of the company's strategy to expand internationally and follows a recent joint venture with SinoAir in China, and the acquisition of OneWorld Courier and In-Time Couriers in Kenya in the first quarter.

Berco Express operates 15 branches throughout South Africa and employs more than 700 people.

Aramex shares ended 1.6 per cent lower on Tuesday. – Reuters