leading container line CMA CGM will grow its presence in the logistics sector with the acquisition of a nearly 25% stake in CEVA Logistics.
\nMANA correspondent reported, leading container line CMA CGM will grow its presence in the logistics sector with the acquisition of a nearly 25% stake in CEVA Logistics for between CHF380m ($391m) to CHF450m.
\nThe company said in a press release that it had reached an agreement to acquire the equity stake through a commitment to subscribe for mandatory convertible securities of CEVA in connection with CEVA\u2019s planned initial public offering on the SIX Swiss Exchange.
\nA global leader in logistics and with more than 56,000 employees and temporary\/agency workers in 160 countries, CEVA is the fifth-ranked player in the global contract logistics segment, posting revenues of over $7bn in 2017. It is also ranked 10th globally in freight forwarding, with a strong footprint in Asia.
\nCommenting on the proposed transaction, CMA CGM chairman and CEO Rodolphe Saad\u00e9 said: \u201cWith this proposed investment in CEVA, CMA CGM makes a significant move, in line with its development strategy. CEVA is a major player in the logistics business, which is closely related to the shipping industry. Together, the two companies will also explore possible cooperation allowing us to propose an ever more differentiated and qualitative offering while integrating services beyond maritime transport.\u201d
\nFollowing this equity investment, CMA CGM will nominate two members of CEVA\u2019s Board of Directors. The two companies have agreed to explore potential opportunities to work together towards the development of joint commercial offerings, according to terms that will be defined in the coming months.
\nIt is the latest move by CMA CGM to expand beyond the traditional concept of ocean container shipping and the company has been investing in forward-looking areas such as digitalization and LNG powered vessels.<\/p>\n","protected":false},"excerpt":{"rendered":"