FedEx to sell subsidiary to French shipping company for $1.4B

FedEx has reached an agreement to sell its FedEx Supply Chain subsidiary to the CMA CGM Group for $1.4 billion, a deal expected to close in 2026. The acquisition will significantly expand CMA CGM’s CEVA Logistics division, nearly tripling its North American contract logistics footprint and strengthening its position in the regional market. For the logistics sector, this shift signals a major consolidation of contract logistics assets and a strategic pivot for FedEx toward specialized, high-value industrial verticals.

The $1.4 billion transaction marks a transformative expansion for CMA CGM’s logistics arm, CEVA Logistics, in the North American market. Once the deal concludes in 2026, it is projected to nearly triple CEVA’s contract logistics business in the region, enhancing the company's ability to offer integrated supply chain solutions. CMA CGM leadership emphasized that the acquisition reinforces their long-term commitment to investing in the United States while supporting the overall resilience and efficiency of the domestic supply chain.

For FedEx, the divestiture is a strategic move to streamline its business portfolio and concentrate resources on high-growth, high-value industries. The company identified healthcare, automotive, aerospace, and data centers as the primary sectors where it intends to apply its unique expertise moving forward. FedEx representatives stated that by offloading the supply chain subsidiary, the organization is better positioned to execute its long-term vision as a central provider of global industrial connectivity and reliability.

Beyond the sale, the two companies have established a multi-year strategic partnership involving ocean and air freight operations. Under the agreement, CMA CGM will serve as a preferred ocean carrier for FedEx, and the two entities plan to incrementally increase shared air cargo capacity through 2028. This collaboration aims to leverage the complementary strengths of both global logistics providers to support the future operations of FedEx Supply Chain and its team members under new ownership.