July 1 (Reuters) – French container shipping group CMA CGM is nearing a deal to buy FedEx’s third-party logistics business for $1.4 billion in cash, the Financial Times reported on Wednesday, citing people familiar with the matter.
Talks between the companies are at an advanced stage and a deal could come together as soon as Wednesday, the report added.
Reuters could not immediately verify the report. CMA CGM and FedEx did not immediately respond to requests for comment outside regular business hours.
This would be the latest move by CMA CGM to diversify into logistics and air freight. Meanwhile, for FedEx, the sale of its third-party logistics business, known as FedEx Supply Chain, will let it focus on its core air-ground delivery network.
FedEx Supply Chain specializes in order fulfillment and product returns for major retailers.
The news of the potential deal comes a month after FedEx completed the spin-off of its trucking segment, FedEx Freight, to focus on its delivery business.
Global tariffs imposed by U.S. President Donald Trump have weakened demand for delivery services. Evolving U.S. trade policies, including the end of U.S. duty-free “de minimis” low-value e-commerce shipments from China-linked discount retailers, such as Shein and Temu, have weighed on volumes.
(Reporting by Akanksha Khushi in Bengaluru; Editing by Sonia Cheema)
