CEVA signs $440 million deal to buy Borusan Tedarik, expand in Türkiye

CEVA Logistics, a subsidiary of the CMA CGM Group, signed a binding agreement to acquire 100 percent of Borusan Tedarik Zinciri Çözümleri ve Teknoloji Anonim Şirketi to expand operations in Türkiye.

"The signed share transfer agreement lists a total transfer price of $440 million, subject to ordinary net cash and working capital adjustments," says an official release from CEVA. "Privately held Borusan Holding has 69.47 percent of Borusan Tedarik’s shares while the remaining 30.53 percent is held by publicly traded Borusan Yatırım. The deal, which includes Borusan Tedarik subsidiaries in Germany, Bulgaria, Hong Kong and China, remains subject to customary closing conditions and regulatory approvals."

Borusan Tedarik offers comprehensive logistics solutions in Türkiye including contract logistics, finished vehicle logistics (FVL), full truckload (FTL) and less than truckload (LTL) ground transport as well as air and ocean freight and customs. With 2024 gross revenue of $567 million, Borusan Tedarik serves a diversified customer base of global customers, the release added.

"CEVA Logistics would welcome approximately 4,000 employees working with Borusan Tedarik. Adding the logistics activities of Borusan Tedarik would strengthen CEVA’s current position in Türkiye with a strong offering in each of its core products - air, ocean and ground transport, contract logistics and FVL.

"The acquisition would nearly double the size of CEVA’s domestic warehousing and distribution operations, adding approximately 570,000 square meters to its existing 620,000 square meters of warehouse space. In addition, the combined ground transport activities would execute nearly one million domestic transports per year, while Borusan Tedarik’s activities would also strengthen CEVA’s existing network connecting with Europe."

Mathieu Friedberg, CEO, CEVA Logistics says: "As a top 5 global logistics player, we have identified Türkiye as one of our strategic geographies where we expect to grow significantly. Complementing our existing presence in Türkiye with the reputable experts and operations of Borusan Tedarik would put us in a position to offer even greater value to our combined customers and, as a result, grow faster than the market organically. CEVA is becoming bigger, stronger and smarter so that we can then grow faster."

Erkan Kafadar, CEO, Borusan Group adds: "We have initiated the transfer process of Borusan Tedarik - one of our investments that adds significant value to our country and sector— - to CEVA Logistics, a global provider of integrated logistics services. Founded 52 years ago to meet the internal logistics needs of our Group, the company’s evolution into a global player is a source of immense pride for us. We consider this transaction not only as a business deal but also as a strong expression of international trust in Türkiye. As Borusan Group, operating under a dynamic portfolio strategy, we will continue to contribute to the economic and social development of our country through new investments."

Headquartered in Marseille, France, CEVA Logistics ended 2024 with a revenue of $18.3 billion, the release added.