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CMA CGM Group to buy FedEx Supply Chain for $1.4B
AP News • • business
Key Points:
- French container shipping company CMA CGM Group announced it will acquire FedEx Supply Chain, FedEx's third-party logistics subsidiary, for $1.4 billion to expand its U.S. presence.
- The acquisition will triple the size of CMA CGM's logistics arm, CEVA Logistics, strengthening its contract logistics capabilities in North America.
- CMA CGM plans to invest $20 billion in U.S. warehousing, air cargo, and logistics from 2025 through 2029 as part of its long-term growth strategy.
- Both companies intend to establish multiyear air and ocean freight commercial agreements, with related deals expected to be finalized between 2026 and 2028.
- FedEx is focusing on its core delivery business and has been divesting some subsidiaries, including the recent spinoff of FedEx Freight; the acquisition is anticipated to close later this year pending regulatory approval.
