FedEx in advanced talks to sell logistics arm to CMA CGM for $1.4bn

FedEx is in advanced negotiations to sell its logistics arm to French shipping company CMA CGM in a transaction worth around $1.4 billion, according to people familiar with the matter. The proposed deal would transfer a sizeable freight forwarding and logistics operation out of FedEx's portfolio as the Memphis-based delivery group continues reshaping its business.

Background of the negotiations

Discussions between the two companies have progressed in recent weeks, with both sides working through the final terms of a potential agreement. CMA CGM, the France-headquartered container shipping line that has expanded aggressively into adjacent transport services, has emerged as the preferred buyer for the FedEx unit. The deal would mark one of the more notable logistics transactions of the year, reflecting how global shipping groups are broadening their reach across the supply chain.

Why the asset is on the block

FedEx has signalled its intent to streamline operations and focus on its core parcel and express delivery networks. Divesting the logistics business would give the company additional capital to invest in efficiency initiatives and cost reduction programmes. The asset being sold spans freight forwarding activities that connect shippers with carriers across international markets.

What CMA CGM stands to gain

For CMA CGM, acquiring the FedEx unit would deepen its presence in the freight forwarding segment, an area the carrier has identified as central to its growth strategy.

• Expanded global freight forwarding capability
• Stronger foothold in North American logistics markets
• Integration with existing CEVA Logistics operations
• Broader service portfolio for shippers worldwide

The deal is not yet final and could still be subject to change. Both companies have been pursuing adjacent moves in the sector, including CMA CGM's continued push to acquire the FedEx logistics business, while FedEx has explored options across its broader divestiture and restructuring agenda. Industry observers are also watching how the broader logistics landscape is evolving, with new entrants reshaping competitive dynamics, as seen in moves such as Amazon's expansion into third-party fulfillment.