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CMA CGM commits to Bolloré buy
[ May 9, 2023 // Chris Lewis ]CMA CGM Group is now committed to purchase Bolloré Group’s transport and logistics operations after granting it a ‘put’ option to the Bolloré Group to sell its transport and logistics operations.
A put option gives the seller the right, but not the obligation, to sell a stock at a specific price by a specific time.
Completion of the transaction, announced on 18 April, remains subject to examination by employee representatives and regulatory approvals.
CMA CGM said that the acquisition would be the largest since the Group was founded in 1978 and would make it a top five player in global logistics with combined revenues of approximately US$24 billion and an annual shipping volume of over 2 million TEU of sea freight and 0.8 million tonnes of air freight.
Warehouse space would increase by more than 900,000sq m at 115 locations, in addition to the 10.3 million square meters already managed by CEVA at its 900 warehouses around the world. The deal would add 14,000 new employees at 350 offices in 63 countries to CMA CGM Group’s existing 155,000 employees in 160 countries.
CMA CGM’s logistics activities have already been boosted by acquisitions of Gefco, Ingram Micro Commerce & Lifecycle Services and Colis Privé.
Bolloré Group itself has made several acquisitions in the logistics sector over the years and its activities included French global forwarder SDV, since rebranded as Bolloré Logistics. In 1999, it purchased UK West African specialist shipping line OTAL and its land transport network in Africa.
It is currently a world leader in transport and logistics solutions for the luxury goods, fragrances and cosmetics, healthcare, aerospace and defense sectors.
Bolloré Logistics has 600 branches and hubs worldwide alongside Bolloré Ports active in container terminal concessions, cargo handling and shipping.
The wider Bolloré Group is also active in media and electricity storage and generation.
Tags: CMA CGM; Bollore