EBX Closes its doors
The express and delivery company EBX Express Brasil, owned by businessman Eike Batista, suspended operations last Thursday. The company was aiming to be the main player in the domestic express market in Brazil, with sales of US$ 1 Billion in five years and the capacity to compite with Correios’ express product Sedex, and deliver goods purchased over the internet.
Batista spend US$100 million in the purchase of five delivery companies, but it all went awry. EBX had difficulties attracting customers, and revenues did not exceed R$100 million. This year, EBX changed its focus to the B2B transport market, but it was too late. It is the third parcels company to close its doors, unable to overcome the strong competition of Correios.
translation from original:
A empresa de entregas do empresário Eike Batista suspendeu as operações na última quarta-feira. A companhia pretendia ser a maior do setor de encomendas expressas no Brasil, com faturamento de US$ 1 bilhão em cinco anos e capacidade de competir com o Sedex dos Correios, e entregar produtos adquiridos na internet. Batista desembolsou US$ 100 milhões na compra de cinco companhias de entregas. Tudo virou pó. A EBX teve dificuldade em atrair clientes e o faturamento não passou dos R$ 100 milhões. Este ano, a EBX desviou o foco para o transporte entre empresas, mas era tarde demais. É a terceira empresa de encomendas a fechar as portas sem conseguir vencer a forte concorrência dos Correios.
