FedEx completes acquisition of US returns specialist GENCO
FedEx Corp has completed the acquisition of American product returns specialist GENCO. The Memphis-based express delivery giant first announced back in December that it was acquiring the company, one of the largest third-party logistics firms in the US.
GENCO, which has its headquarters in Pittsburgh, Pennsylvania, is a family-owned trucking company founded in 1898, which employs more than 11,000 people at about 140 warehouse locations to generate about $1.6bn revenue each year.
In particular, the company pioneered various reverse logistics services, including the kind of added-value services suitable for product returns — testing and repair, re-marketing, re-sale and recycling.
Blue-chip clients included retail giant Sears and mobile phone provider AT&T.
FedEx has been interested in the company to expand its logistics offering particularly for retail and e-commerce customers.
The company said that with the acquisition complete, GENCO will now operate as a subsidiary of FedEx Corp, led by continuing chief executive Todd R Peters, with financial results reported within the FedEx Ground business segment.
“We are extremely pleased to welcome GENCO teammates to the FedEx family,” said Frederick W. Smith, Chairman and CEO of FedEx Corp. “We believe this acquisition demonstrates our commitment to our customers with enhanced supply chain and logistics offerings, which will also continue to drive growth. We look forward to starting the integration process.”
