France’s CMA CGM has reached an agreement to acquire an equity stake of around 25% in CEVA Logistics.
CMA CGM will subscribe to between 380m and 450m Swiss Francs ($391m-$462m) worth of CEVA securities in connection with the company’s Swiss IPO announced today.
Rodolphe Saadé, chairman and CEO of CMA CGM, commented: “With 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 cooperations allowing us to propose an ever more differentiated and qualitative offering while integrating services beyond maritime transport.”
The deal will substantially grow CMA CGM’s presence in the logistics sector. CEVA employs more than 56,000 workers in 160 countries, and last year posted revenues of over $7bn.
The two companies will explore opportunities to work together to develop joint commercial offerings, and CMA CGM will nominate two members to sit on CEVA’s board.