FedEx to Expand Global Portfolio of Solutions with Acquisition of GENCO
December 15 2014 - 5:00PM
Business Wire
A recognized leader in reverse logistics, GENCO
transforms the FedEx suite of e-commerce and supply chain
solutions
FedEx Corp. (NYSE:FDX) announced today that the company signed
an agreement to acquire GENCO, one of the largest third-party
logistics providers in North America. With a comprehensive
portfolio of supply chain services, GENCO’s expertise will expand
existing FedEx service offerings in the evolving retail and
e-commerce markets.
Processing more than 600 million returned items annually from
many of the world’s leading brands, GENCO is considered a pioneer
and market leader in reverse logistics, providing triage, test and
repair, remarketing and product liquidation solutions. With $1.6
billion in annual revenue and more than 11,000 teammates at over
130 operations, GENCO offers a complete range of product lifecycle
logistics® services to customers in the technology, consumer,
industrial, retail, and healthcare markets.
“The acquisition of GENCO will transform our global portfolio
through the addition of new best in class supply chain management
services,” said Frederick W. Smith, Chairman and CEO of FedEx Corp.
“As e-commerce continues to grow, customers of both companies will
reap the benefits from the broadened capabilities and powerful new
services.”
“With similar corporate cultures, shared values and unwavering
focus on developing world-class logistics solutions, FedEx and
GENCO are a great fit,” said Herb Shear, Executive Chairman, GENCO.
“I am especially pleased that Todd R. Peters will continue as GENCO
CEO and to know that our teammates everywhere will make significant
and lasting contributions to our customers as members of the FedEx
family.”
The transaction is subject to customary closing conditions,
including compliance with U.S. and Canadian antitrust law
requirements. GENCO will continue to operate as an independent
company until the transaction is closed in the new calendar
year.
J.P. Morgan Securities LLC and Baker & McKenzie served as
advisors to FedEx on this transaction. Paul, Weiss, Rifkind,
Wharton & Garrison LLP, Republic Partners, and Staley Capital
served as advisors to GENCO.
About FedEx Corp.
FedEx Corp. (NYSE: FDX) provides customers and businesses
worldwide with a broad portfolio of transportation, e-commerce and
business services. With annual revenues of $46 billion, the company
offers integrated business applications through operating companies
competing collectively and managed collaboratively, under the
respected FedEx brand. Consistently ranked among the world's most
admired and trusted employers, FedEx inspires its more than 300,000
team members to remain "absolutely, positively" focused on safety,
the highest ethical and professional standards and the needs of
their customers and communities. For more information, visit
news.fedex.com.
About GENCO
GENCO is the recognized leader in product lifecycle and reverse
logistics solutions designed to maximize value and reduce costs,
generating $1.6 billion in revenue annually and operating over 130
warehouse locations comprising 38 million square feet throughout
North America. Their diverse range of customers includes many
Fortune 500 companies in the technology, consumer and industrial,
retail and healthcare markets and the federal government. GENCO’s
complete range of product lifecycle services include inbound
logistics; warehousing & distribution; fulfillment; contract
packaging; managed transportation; systems integration; returns
processing & disposition; test, repair, refurbishment; product
liquidation; and recycling.
Certain statements in this press release may be considered
“forward-looking” statements within the meaning of the Private
Securities Litigation Reform Act of 1995 with respect to future
events and financial performance. These forward-looking statements
involve risks and uncertainties. Actual results may differ
materially from those contemplated (expressed or implied) by such
forward-looking statements, because of, among other things,
economic conditions in the global markets in which we operate, the
impact of any international conflicts or terrorist activities,
disruptions to the Internet or our technology infrastructure, the
impact of changes in fuel prices and foreign currency exchange
rates and adverse weather conditions or natural disasters, as well
as the other risks and uncertainties you can find in FedEx’s and
its subsidiaries’ press releases and SEC filings, including the
risk factors in FedEx’s most recent annual report on Form 10-K, as
updated by FedEx’s quarterly reports on Form 10-Q.
FedEx Media RelationsErin Truxal,
901-834-9240erin.truxal@fedex.comorGENCO MediaRyan Kelly,
412-820-3801ryan.kelly@genco.com
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