CMA CGM Group to triple the size of its North American contract logistic operations
The CMA CGM Group has announced an agreement to acquire FedEx Supply Chain, a subsidiary of FedEx Corp, at an enterprise value of $1.4 billion.
The acquisition reinforces CMA CGM’s more than 25-year commitment and investment in the United States supply chain and accelerates its 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.
Following the execution of this transaction, CMA CGM and FedEx expect also 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.
Rodolphe Saadé, Chairman and Chief Executive Officer of the CMA CGM Group, stated: “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.”
Raj Subramaniam, President and CEO of FedEx, added: “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.”
Transaction closing and approvals
The acquisition is expected to close in 2026, subject to customary regulatory approvals. The air cargo and ocean freight agreements are expected to commence in different phases between now and 2028. Morgan Stanley and Messier & Associés are acting as financial advisors to CMA CGM, and Cleary Gottlieb is acting as legal counsel to CMA CGM. JPMorgan is acting as financial advisor to FedEx, and Baker McKenzie is acting as legal counsel to FedEx.
