FedEx finalizes acquisition of AFL Pvt. Ltd.
in the NewsBehind KION Group’s acquisition of Dematic UniCarriers Americas executives partner with Roosevelt University Brexit impact yet to be measured by U.S. logistics managers Rail carload and intermodal volumes fall for the week ending June 18, reports AAR BTS reports U.S.-NAFTA trade falls 3.2 percent in April More News
FedEx said that its FedEx subsidiary has officially completed the acquisition of the logistics, distribution, and express businesses of India-based AFL Pvt. Ltd. and its affiliate Unifreight India Pvt. Ltd.
The deal was originally announced by FedEx in November. Financial terms were not disclosed. Fed Ex officials said acquiring AFL further enhances FedEx Express international and India business offerings and continues a long-term commitment by FedEx to the growing Indian market.
“The addition of the AFL and UFL businesses to the FedEx Express network will provide customers with more comprehensive international and India domestic service options, such as air express, domestic ground, and value added-services, including warehousing, logistics solutions and 3PL,” said Michael L. Ducker, COO, FedEx Express, in a statement. “With India being among the four biggest economies globally and predicted to be among the top three economies by 2020, it is a key market for investment. The growth of the Indian market is considerable and offers tremendous opportunity for all our customers wishing to explore new markets and open up additional revenue streams for their business.”
FedEx officials said that this deal will provide FedEx Express with a more robust domestic ground network and added capabilities in India.
“This acquisition supports the FedEx commitment to the success of the Indian market, its workforce and its customers,” a FedEx spokesperson told LM in an interview. “Since 1984 when FedEx first entered the market as the first air express carrier FedEx recognized India’s significant economic potential. Continuing to invest in this market further evolves the market potential FedEx recognized more than 20 years ago.”
AFL Pvt. Ltd. was established in 1945. It provides shippers with a wide range of distribution and logistics services. Included in this acquisition are:
-AFL Logistics and distribution, which includes supply chain management, warehousing, and ground distribution network services that provide day-definite ground transportation for small packages and heavyweight shipments through more than 200 daily scheduled routes; and
-AFL WiZ Express, a provider of express services through more than 160 Express Service Centers that provide service for more than 5,000 zip codes across 144 cities in India.
The FedEx spokesperson said that “the acquisition of the AFL businesses will allow FedEx to provide customers with more comprehensive service options, such as domestic ground and value-added services, including warehousing, logistics solutions and 3PL…and for AFL customers this acquisition will allow them to have direct access to the FedEx international air and ground network in more than 220 countries and territories worldwide, enhancing customers’ business flexibility and speed to market coupled with an outstanding FedEx customer experience.”
About the AuthorJeff Berman Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. Contact Jeff Berman
Subscribe to Logistics Management Magazine!Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your entire logistics operation.
Start your FREE subscription today!
WMS Update: What do we need to run a WMS? Supply Chain Software Convergence: Synchronization Realized View More From this Issue