DHL eCommerce has entered into a joint venture with AJEX Logistics Services to acquire a minority stake in the Saudi Arabian parcel logistics firm.

The e-commerce division said the deal would allow it to enter into the "rapidly growing" Saudi Arabian e-commerce parcel market, reports London's Air Cargo News.

"Although AJEX only began its operations in 2021, it has already established itself as a leading parcel service provider in the rapidly evolving domestic market, with robust growth and an extensive distribution network," DHL said.

AJEX, which is backed by investment firm Ajlan & Bros Holding, employs 1,500 people and provides domestic parcel processing and delivery through a network that includes over fifty facilities and a fleet of more than 900 vehicles.

Following the deal, DHL eCommerce will contribute its expertise and have representation on the management board. It also has the option to increase its interest to a majority stake in the future.

DHL eCommerce chief executive Pablo Ciano said: "As a key component of our corporate Strategy 2030 'Accelerate Sustainable Growth' we are focusing on markets like Saudi Arabia that exhibit significant growth dynamics and strong economic development."

While the Saudi Arabian market is new to DHL eCommerce, the overall DHL Group has had a presence in the country since 1970 through its DHL Express business unit.

The deal is awaiting regulatory approval.