Home / Logistics / CEVA Logistics, CMA CGM Increase Strategic Partnership, Signs New Relationship Agreement

CEVA Logistics, CMA CGM Increase Strategic Partnership, Signs New Relationship Agreement


Port Wings News Network:

CMA CGM has been CEVA Logistics’ reference shareholder since its listing on the SIX stock exchange in May 2018.

CMA CGM signed a new relationship agreement with CEVA on 24 October 2018 to reinforce the industrial cooperation between the two companies. All the CEVA shareholders will have the opportunity to benefit from the substantial value creation expected from this cooperation with a commitment to keep the CEVA shares listed. This agreement will make it possible for CEVA Logistics to accelerate its transformation by: Bringing CMA CGM’s operational expertise and its experience in corporate transformations to help CEVA achieve its recovery plan faster and more efficiently; Creating new commercial opportunities: as a leader in the sea transport sector with an international commercial network, CMA CGM will generate new opportunities for CEVA Logistics; Adding value to the commercial complementarities between CEVA Logistics’ and CMA CGM’s freight management activities: CMA CGM will transfer its freight management activities to CEVA Logistics, thus strengthening the company and creating economies of scale; Supporting CEVA Logistics’ reorganization and development strategy: CMA CGM will support additional investments aiming – among other things- at implementing CEVA Logistics’ digital and IT transformation which will stimulate its commercial success and operational efficiency.

This industrial cooperation has received the full support of CEVA Logistics’ board of directors and management. It preserves CEVA Logistics’ assets and identity. It will be in the best interest of the company: CEVA Logistics’ clients, who will benefit from a broader offering of services; Its employees, who will participate in the development of a stronger company; Its shareholders: the industrial cooperation offered by CMA CGM will significantly improve the financial performance of CEVA Logistics. CMA CGM commits to maintain the company’s share listing at the SIX Swiss Exchange and to have a significant free float.

The agreement signed between CMA CGM and CEVA also entails: A removal of the drag along clause in the relationship agreement previously entered into; A voluntary public tender offer from CMA CGM, for a value of 30 CHF per share in cash, for the CEVA Logistics shareholders who wish to sell their shares despite the value creation potential from the industrial cooperation with CMA CGM, which will be pre-announced by November 30, 2018 at the latest.

Rodolphe Saadé, Chief Executive Officer of CMA CGM, said: “We are convinced of CEVA Logistics’ potential. This industrial cooperation will make it possible to accelerate its required transformation and to make it a more profitable and efficient leader in logistics for the benefit of its clients, its employees and its shareholders. It reconfirms CMA CGM as the reference shareholder as well as its long-term partner.”

The new partnership places CMA CGM as a long-term strategic partner through a reinforced industrial project.

About Admin

Check Also

ICTSI 9M2018 Revenues Up 10% to USD1 Billion

Chennai: Port Wings News Network: International Container Terminal Services, Inc. (ICTSI) on 7 November 2018 …

Leave a Reply

Your email address will not be published. Required fields are marked *