A Globally Renowned Logistics Brand is about to Exit the Market
This year has witnessed numerous acquisitions in the shipping industry. Bolloré Logistics, a renowned global top-ten brand, is about to make its exit. Bolloré Logistics is an international supply chain operator and one of the world’s top ten logistics and transportation groups. Its shareholders are part of the French Bolloré Group, which has a history spanning over 200 years.
Established in France in 1986, Bolloré Logistics primarily engaged in logistics services along trade routes between France and Africa. Bolloré Logistics is a company committed to innovation and customer experience. It possesses high adaptability, offering a variety of alternative solutions and continually improving its performance. The company offers five types of services, including multimodal transport, customs and regulatory compliance, logistics, global supply chain, and industrial projects. Bolloré Logistics entered the Chinese market in 1994 and has extensive experience in logistics and transportation in various sectors. It is the main logistics subsidiary of the Bolloré Group. The company provides services in seven major core categories, multimodal transport, trade compliance, contract logistics, global supply chain, industrial projects, e-commerce, and customer value. Their logistics services span across aerospace, aid and relief, automotive, consumer goods and retail, energy, fashion, food and beverage, perfumes and fragrances, healthcare, manufacturing and engineering, as well as perfumes and cosmetics.
In 2016, Bolloré Logistics partnered with Toyota Tsusho in Africa and globally. Last December, the world’s largest shipping company, MSC Group, acquired Bolloré Logistics’ subsidiary, Bolloré Africa Logistics Group, for $6.3 billion. Subsequently, CMA CGM acquired Bolloré Logistics for $5.5 billion. After acquiring Bolloré Africa Logistics, CMA CGM changed its name to Africa Global Logistics (AGL). According to the latest news, CMA CGM is currently in the final stages of acquiring Bolloré Logistics. The completion of the final transaction depends on obtaining the necessary permits, but there should be no significant issues, and the deal is expected to proceed smoothly. This acquisition represents a diversification of CMA CGM’s logistics development and will enhance its position in the logistics industry. The fate of the Bolloré Logistics brand and the future of its employees after the acquisition is still unclear. Bolloré Logistics aims to continue its international expansion by offering competitive and innovative solutions.
As for the possibility of the Bolloré Logistics brand disappearing, a final decision has not yet been made, but it seems logical that the brand may not survive in the medium term. Thomas Cullen, Senior Analyst at consulting firm Transport Intelligence, has noted some competition and overlap between the two companies’ freight agency services. However, Bolloré Logistics has a stronger focus on pharmaceuticals and luxury goods, while CMA CGM focuses more on automotive and electronics. In recent years, Bolloré has been expanding its operations in Asia and has expressed interest in North American development. Nevertheless, Bolloré’s primary focus remains on its African operations. The future direction will depend on market developments and CMA CGM’s plans. In the past two years, there have been many reports of consolidation and resource integration in the global logistics industry, presenting an opportunity for significant changes and reshuffling within the sector. Most companies are moving towards diversification and globalization to spread risk and further expand globally.
