Ocean shipping powerhouse CMA CGM announced it has tentatively agreed to acquire a 51 percent stake in French last-mile delivery company Colis Privé Group
FREMONT, CA: CMA CGM, the world's leading ocean shipping line, announced that it has agreed to acquire 51percent of French last-mile delivery company Colis Privé Group, expanding its reach into third-party logistics and e-commerce as part of its strategy to develop as a full-service supply chain provider.
In 2019, Ceva Logistics, the third-largest container line in the world by fleet size, obtained the deal to strengthen its large container line subsidiary. As Statista reports, Ceva is investing heavily to enhance its e-commerce services, which grew by 16.6 percent globally last year to USD 4.2 trillion and is expected to grow by 50 percent by 2025 to USD 7.4 trillion. As a result, Colis Privé will have access to Ceva's vast customer portfolio.
Founded in France in 2000, Colis Privé provides home delivery for more than 200 online retailers, with branches in Belgium, Luxembourg, Morocco, and soon, the Netherlands. It has a network of nearly 110 branches throughout France. CMA CGM, based in Marseille, France, plans to accelerate Colis Privé's international expansion by using its finances, technology platform, and international footprint. CMA CGM chairman and CEO remarked that the acquisition of a majority stake in Colis Privé is a significant step in the development of logistics activities. For the e-commerce customers, where the last mile is a crucial milestone, this operation is likely to enable CMA CGM to offer them a complete logistics solution. By leveraging the worldwide presence of the subsidiary Ceva Logistics, their ambition is to broaden Colis Privé internationally, beginning with Europe in which the enterprise is already established.
Ocean carriers have been expanding their portfolios and providing more of a closed-loop service with greater shipment control and visibility for strategic customers as a result of record profits from the ocean shipping boom over the last two years.
CMA CGM acquired the e-commerce subsidiary of technology distribution firm Ingram Micro last month to broaden Ceva's capabilities beyond contract logistics. Ingram Micro's e-commerce contract logistics and omnichannel fulfilment divisions are its specialities. CMA CGM started CMA CGM Air Cargo, an all-cargo airline, last year.
