CMA CGM Group acquired FedEx Supply Chain, nearly tripling CEVA Logistics' North American contract logistics operations and creating a leading provider with 150 warehouses and 20,000 employees across 240 locations.
- CMA CGM acquired FedEx Supply Chain, integrating nearly 10,000 team members into CEVA Logistics
- The combined entity operates approximately 150 warehouses with 20,000 employees across 240+ locations in North America
- CMA CGM becomes a preferred ocean carrier for FedEx under a multi-year commercial agreement
- The acquisition accelerates CMA CGM's strategy to provide comprehensive end-to-end logistics solutions
- Companies will collaborate on air cargo capacity solutions to enhance global networks and aircraft utilization
The CMA CGM Group acquired FedEx Supply Chain, a subsidiary of FedEx Corp, nearly tripling the size of the North American contract logistics operations of CEVA Logistics, a subsidiary of the CMA CGM Group.
“The acquisition and partnership with FedEx represent a major step in the development of CEVA Logistics and our logistics activities in North America. We are strengthening our ability to provide customers with integrated supply chain solutions. These deals also reinforce our long-term commitment to investing in the United States and supporting the resilience and efficiency of its supply chain,” says Rodolphe Saadé, chairman and CEO of the CMA CGM Group.
"Today’s announcement enables FedEx to further increase our focus on providing our unique expertise for high-value verticals, including healthcare, automotive, aerospace and data centers. By streamlining our portfolio, FedEx is better positioned to execute our long-term vision and continue to serve as the heartbeat of the industrial economy, delivering unmatched connectivity, reliability, and value to our customers globally. We look forward to leveraging our complementary relationship with global logistics solutions provider CMA CGM to support the next chapter for FedEx Supply Chain and its team members," adds Raj Subramaniam, president and CEO of FedEx.
Key takeaways:
· The acquisition accelerates CMA‘s strategy to provide comprehensive end-to-end logistics solutions.
· By integrating FedEx Supply Chain’s assets and nearly 10,000 team members, CEVA Logistics will become a leading contract logistics provider in North America.
· The combined entity would operate approximately 150 warehouses, expanding CEVA’s overall presence in North America to a combined workforce of 20,000 people located at more than 240 locations.
· CMA CGM and FedEx also expects to enter into multi-year commercial agreements related to air and ocean freight. CMA CGM will become a preferred ocean carrier for FedEx, offering ocean transport and carrier services under a non-exclusive agreement. The companies will also work together on select air cargo capacity solutions to enhance their respective global networks in the interest of higher aircraft utilization and flexible long-haul capacity.
