FedEx Plans Acquisitions in Southern Africa
FedEx Corp. said Thursday it has signed agreements to acquire the businesses operated by its current service provider Supaswift Ltd. in five countries in southern Africa.
The transaction, which encompasses Supaswift’s operations in South Africa, Malawi, Mozambique, Swaziland and Zambia, is subject to regulatory approvals and customary closing conditions, FedEx said.
FedEx, which released its fourth-quarter earnings Wednesday, said it is also in discussions to acquire Supaswift’s businesses in Botswana and Namibia, and that the acquired businesses will operate under its FedEx Express unit.
The additions will give FedEx customers greater access to “some of the world’s most rapidly growing economies,” FedEx Chairman and CEO Frederick Smith said in a statement.
Once the acquisitions are complete, FedEx Express will gain direct access to 39 facilities and will welcome about 1,000 Supaswift workers, FedEx said. FedEx Express will then offer export, import and domestic services connecting southern Africa to more than 220 countries and territories worldwide.
Supaswift began operations in South Africa in 1990 and merged in 2005 with MyExpress Pty Ltd., which had been offering FedEx Express international services in southern Africa since 1991.
FedEx Corp. is ranked No. 2 on the Transport Topics Top 100 listing of U.S. and Canadian for-hire carriers.
