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CMA CGM to become automotive logistics leader with Gefco buy

[ April 11, 2022   //   ]

The CMA CGM Group is to acquire nearly 100% of the capital of automotive logistics specialist Gefco. CMA CGM chairman and chief executive Rodolphe Saadé, said the move would, together with the earlier acquisition of Ceva would make the group the world leader in automotive logistics as well as reinforce its position in contract logistics.

“We are creating a French leader to serve our customers around the world,” he declared.

CMA CGM said that Gefco would benefit from CEVA Logistics’ expertise and network, enabling it to expand both its business and its customer portfolio in key markets, especially France and the rest of Europe.

Gefco has particular expertise in finished vehicle logistics, and also plays a key role in keeping European automotive production lines running. Gefco says it intends to pursue its existing cooperation with its partners, including Stellantis.

As well as automotive, Gefco has customers in the aerospace, pharmaceuticals, energy and retail sectors. Its network spans 47 countries and employs around 11,500 staff around the world – over 2,500 of them in France.

CMA CGM recently completed acquisitions of Ingram Micro’s Commerce & Lifecycle Services and Colis Privé boosting CEVA Logistics’ presence in e-commerce and market segments such as technology, retail and fashion.

Gefco chief executive, Luc Nadal said: “With more than 70 years of expertise in industrial logistics, Gefco is proud to join the CMA CGM Group, an undisputed world leader in maritime shipping and logistics. The project led by CMA CGM will allow Gefco to continue our activity in a stable environment, will support the transformation we have initiated and will strengthen our development in the years to come. This link between two French companies will bring many opportunities for Gefco in terms of innovation and sustainable growth, particularly internationally, for the benefit of our customers.”

The deal is subject to approval by competition authorities. The European Commission has authorized CMA CGM to acquire the capital of Gefco immediately, pending final approval in the coming months, under a special procedure.