FedEx acquires TNT Express for US $4.9-billion
FedEx has concluded the purchase of TNT Express in a US $4.9-billion acquisition.
The deal combines the strengths of the companies – the world’s largest air express network and an unparalleled European road network - substantially expanding the existing FedEx portfolio.
"This acquisition is a significant accomplishment and marks the beginning of a new era, filled with promise for our people, customers and shareowners,” said Frederick W. Smith, Chairman and CEO of FedEx."
He added: “The timing of this historic event is important, particularly in the current market environment where global e-commerce is growing at double-digit rates,” Smith added.
“Adding TNT’s capabilities to our existing world-class suite of services, including GENCO and the recently relaunched FedEx CrossBorder, will further expand the ability of FedEx to support business connections around the world.
“And just as we revolutionized the U.S. domestic parcel business through the acquisition and development of what is now FedEx Ground, the acquisition of TNT will change the way customers view FedEx around the world,” Smith continued.
Commenting on the acquisition, Alan B. Graf, Jr., FedEx Executive Vice President and Chief Financial Officer, said: “We believe that this strategic acquisition will add significant value for FedEx shareowners, team members and customers around the globe, particularly in Europe where we will establish a strong new competitor.”
Now that FedEx has acquired TNT Express, the integration process will begin immediately.
The combined companies will leverage investments in technology, infrastructure, facilities and operational capabilities to position the combined companies for long-term growth and success.
In the near term, customers can expect to interact with each company as they always have and once the integration is complete, FedEx customers can expect an expanded global offering that draws upon the breadth of expertise from both companies.