The CMA CGM Group has completed its acquisition of FedEx Supply Chain from FedEx Corp at an enterprise value of $1.4 billion, expanding CEVA Logistics’ contract logistics operations in North America. The acquisition adds nearly 10,000 FedEx Supply Chain employees and approximately 34 million square feet of warehouse space to CEVA Logistics’ North American network. The combined business will operate around 150 warehouses, taking CEVA’s total presence in North America to more than 240 locations and approximately 20,000 employees.
The transaction expands CEVA Logistics’ North American logistics footprint by about three times and strengthens its contract logistics capabilities across the United States and Canada. The combined network will serve customers across sectors including healthcare, technology, consumer and retail.
The acquisition also brings together complementary digital and operational capabilities. CMA CGM said the enlarged network will support increased use of automation and robotics across its North American logistics operations. The transaction forms part of CMA CGM’s strategy to provide integrated supply chain services covering ocean shipping, terminals, inland transportation, warehousing and value-added logistics. It also reinforces the Group’s investment in the United States, where it has operated for more than 25 years.
Alongside the acquisition, CMA CGM and FedEx have entered into multi-year commercial agreements covering air and ocean freight. Under the agreement, CMA CGM will become a preferred ocean carrier for FedEx. The non-exclusive arrangement will allow FedEx to use CMA CGM’s ocean transportation and carrier services.
The companies will also work on an air cargo capacity agreement covering key strategic routes, including Asia-Europe. The planned cooperation is intended to improve aircraft utilisation and provide greater flexibility on long-haul routes while expanding the companies’ respective global networks.
Rodolphe Saadé, Chairman and Chief Executive Officer of the CMA CGM Group, said the completion of the acquisition strengthens CMA CGM and CEVA Logistics’ contract logistics capabilities in North America. “By significantly expanding our contract logistics capabilities, we are strengthening our ability to offer customers integrated, end-to-end supply chain solutions across ocean, air, land and logistics,” Mr Saadé said. He added that the transaction reinforces CMA CGM’s long-term commitment to investing in the United States and supporting the resilience and efficiency of supply chains.
The acquisition gives CEVA Logistics a larger operational base in North America and adds new warehouse capacity and logistics capabilities to its existing network. The combined organisation will provide contract logistics services alongside CMA CGM’s existing ocean, air and land transportation activities.
The commercial agreements with FedEx further expand cooperation between the two companies beyond contract logistics. The ocean carrier arrangement will provide FedEx with access to CMA CGM’s services, while the planned air cargo cooperation is expected to support capacity on selected international routes. CMA CGM said the acquisition and related agreements strengthen its ability to provide customers with logistics services across multiple modes and stages of the supply chain.
