CMA CGM, the fourth largest ocean carrier in the world by market share, has opened a public tender offer to takeover Swiss freight specialists CEVA Logistics worth approximately US $1.65 billion, according to reports.
The French container shipping line, according to Reuters, will make the offer as it continues to diversify its business and logistics operations.
The offer of approximately $30 a share was initially published on January 28, 2019, and the CEVA board recommended it be rejected, a story PTI reported on.
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It comes after the two companies struck a deal in November 2019 to deepen their strategic partnership and explore areas for IT and digital growth, which was in response to a separate takeover bid from Danish freight firm DSV. CMA CGM is CEVA's majority shareholder and holds a 33% stake.
Should the takeover bid be successful, it will be the latest major deal orchestrated by CMA CGM CEO and Chairman Rudolphe Saade since he took over in 2017.
In April 2016 CMA CGM paid $2.4 billion to acquire Singaporean container line APL and in 2019 bought Finnish short sea cargo liner Containerships in a bid to diversify its regional network.