FedEx is selling its FedEx Supply Chain division to CMA CGM Group, the French container shipping company, in a deal valued at $1.4 billion. The agreement was announced this week and is expected to close later in 2026, pending regulatory approval.
FedEx Supply Chain is the Memphis-based company’s third-party logistics arm, handling warehousing, distribution, and fulfillment for outside clients. Under the deal, nearly 10,000 FedEx Supply Chain employees will move over to CMA CGM’s logistics subsidiary, Ceva Logistics. The combined operation will run about 150 warehouses and employ roughly 20,000 people across more than 240 locations in North America, nearly tripling Ceva’s current footprint in the region.
FedEx says the move lets the company sharpen its focus on high-value verticals like healthcare, automotive, aerospace, and data centers. As part of the deal, FedEx and CMA CGM also plan to enter multi-year commercial agreements, with CMA CGM becoming a preferred ocean carrier for FedEx and the two companies collaborating on air cargo capacity.
Notably, the $1.4 billion price tag matches what FedEx originally paid to acquire the unit back in 2015, when it was known as Genco.
For a company built and headquartered in Memphis, the sale marks a real shift in how FedEx defines its core business going forward.
