Recently, with the official announcement of Dafei to win Bolloré Logistics (Bolloré Logistics), one of the world's top ten logistics enterprises, for US $5.5 billion. France Dafei in the field of logistics, officially beyond the big brother Maersk!
It is reported that the $5.5 billion acquisition of Bolloré Logistics (Bolloré Logistics), is the French Dafei this family business since 1978 since the establishment of the largest transaction!
This transaction not only refreshes the acquisition amount record, but also brings a new record for France Dafei: Dafei through this new acquisition, will surpass Maersk and all other competitors in the logistics field!
Data show that the completion of the world's top ten logistics enterprises, one of the Bolloré logistics (Bolloré Logistics) acquisition, will make the company's annual logistics revenue soared to 24 billion US dollars.
such revenue exceeded Maersk's $10 billion. The Danish competitor is the first company to launch a large-scale strategic investment in end-to-end logistics. France is also the transformation of the road to fly "mentor"!
Because whether in air, land or end-to-end integrated logistics strategic transformation and layout, the industry generally believes that the past three years Maersk's biggest follower.
The industry is more concerned about whether Maersk will be overtaken by competitors, but a number of European shipping analysts believe that logistics volume and scale changes may not prompt Maersk to make any rash decisions.
Sydbank senior analyst Mikkel Emil Jensen said: "For a long time, CMA CGM and Maersk have followed the same strategic course, but in my opinion CMA CGM is more focused on large-scale bulk acquisitions, while Maersk is targeting smaller scalable acquisitions to ensure organic and profitable growth in the best conditions.
"I don't think the acquisition will affect Maersk's end-to-end logistics ambitions," he added.
Considering that Maersk's most recent major acquisition is 2021 Li & Fung Logistics (LF Logistics), will this acquisition put pressure on it to enter the space?
"The logistics market is huge, which means that Maersk's growth opportunities are largely unconstrained by CMA CGM's presence in the market. Maersk could easily announce new acquisitions in the near future as part of its own strategy, but most likely not as a result of competing with rival acquisitions," Sydbank senior analyst Mikkel Emil Jensen added.
In the face of European media on the logistics business volume by competitors beyond the inquiry, Maersk replied to the media: the company does not other companies deal to comment.
Accelerating the pace of industry mergers and acquisitions
After experiencing unprecedented high income and high returns during the epidemic, the world's major liner companies have billions of dollars in available capital.
Record high profits have led to some shipping companies on the new ship large-scale investment, or other shipping companies in the logistics and land transport sector acquisition.
Consulting firm Vespucci Maritime founder Lars Jensen believes that CMA CGM's decision to take over the Bolloré Group's logistics activities could further accelerate mergers and acquisitions in the market.
Sydbank senior analyst Mikkel Emil Jensen's view is similar, Lars Jensen stressed that CMA CGM in the logistics field of development strategy and Maersk is different.
Although Maersk follows a clear strategy, based on an integrator model designed to meet customers' end-to-end transportation needs, and to match logistics and shipping operations, CMA CGM maintains a certain distance between the shipping business and logistics companies.
This has been the case since the 2018 acquisition of Ceva Logistics, and there is no actual indication that this will change with the acquisition of Bolloré.
Lars Jensen said: "there is no doubt that this acquisition will strengthen the already occurred integration of competitive pressure."
Since acquiring Ceva five years ago, CMA CGM in a 3 billion dollar deal joins US Ingram Micro CLS, along with Colis Privé and Gefco.
In June 2020, Ceva took over the main part of the logistics company AMI Worldwide, which is particularly large in the African continent.
Jensen also mentioned other major container liners such as MSC through its subsidiary MedLog in the logistics sector.
In the first half of 2022, MSC acquired Lolais Logistics' African shipping, logistics and terminal business, Bolloré Africa Logistics (BAL), which was recently renamed Africa Global Logistics.
Jensen said: "In this way, it becomes a seller's market, adding pressure to Maersk and other companies and other interested logistics operators."
The threat posed by to head freight forwarders
Dafei sees the deal (the $5.5 billion acquisition of Bolloré Logistics) as a major change in the group's logistics efforts.
With the merger of Bolloré logistics and the volume of the existing subsidiary CEVA, Dafei's annual revenue will reach $24 billion, compared with Maersk's revenue of $14 billion in 2022.
Once the acquisition is completed, CMA CGM's logistics business volume will be equivalent to handling 2 million teu containers at sea and 800000 tons of air cargo per year
the acquisition will also add 14000 employees to the shipping group's current 155000 employees.
In addition, the acquisition of Bollor will add nearly 1 million square meters of storage facilities to Ceva's existing 10.3 million square meters of storage facilities.
According to CMA CGM, the acquisition will make the company the fifth largest logistics company in the world, behind DHL Global Forwarding, Kuehne Nagel, DSV, and DB Schenker.
, according to the British analysis company Drewry (Drewry), the acquisition mainly means that the company is closer to small and medium-sized shippers, so that it can receive more offers, which may pose a threat to other freight forwarders.
Drewry also pointed out that CMA CGM will be able to handle larger cargo volumes than Expeditors, CH Robinson and NipponExpress, but the important difference is that the French group controls both sea and air assets.
Source: Ningbo Shipping