The US express transportation giant, FedEx Corp., Thursday announced what it called “a strategic acquisition” of businesses operated by its current service provider, Supaswift (Pty) Ltd., in five southern African countries.
The countries are Malawi, Mozambique, South Africa, Swaziland and Zambia.
“(We are also) in discussions to acquire Supaswift’s businesses in Botswana and Namibia,” according to a press from FedEx Corp., released in the Malawi commercial capital of Blantyre.
These acquisitions will operate under the FedEx Express business unit and the transaction is subject to necessary regulatory approvals and customary closing conditions, the statement said.
Once the acquisition is completed, FedEx Express will have direct access across the seven markets to 39 facilities and will welcome approximately 1,000 of Supaswift’s team members, who will join the ranks of more than 300,000 FedEx team members globally.
FedEx Express will then offer a complete suite of FedEx branded export, import and domestic solutions, connecting Southern Africa to more than 220 countries and territories worldwide, enhancing customers’ business flexibility and speed to market, according to the company.
“The acquisition of Supaswift’s businesses, once closed, will provide customers with greater access to some of the world’s most rapidly growing economies,” said Frederick W. Smith, Chairman, President and Chief Executive Officer of FedEx Corp. “It is an important step in our international growth strategy and further strengthens our FedEx Express portfolio.”
Gerald P. Leary, President of FedEx Express Europe, Middle East, Indian Subcontinent and Africa, added: “FedEx Express has been active in Africa since the early 1990’s through a well-established network of Global Service Providers. This acquisition, once completed, will reaffirm our support to customers in this region.”
FedEx Corp. has an annual US$ 44 billion turn over and operates globally in transportation, e-commerce and business services. Its franchise, FedEx Express, is the world’s largest express transportation company operating in more than 220 countries and territories worldwide.