FedEx lands in Malawi
By Gregory Gondwe, Blantyre, Malawi
FedEx Corp, a firm that provides customers and businesses worldwide with a broad portfolio of transportation, e-commerce and business services yesterday announced that it has completed the first stage of a strategic acquisition by signing agreements to acquire the businesses operated by its current service provider Supaswift (Pty) Ltd. in Malawi.
The agreement that covers Malawi also includes four other countries of Mozambique, South Africa, Swaziland and Zambia.
The firm disclosed that it is also in discussions to acquire Supaswift’s businesses in Botswana and Namibia.
With these acquisitions, the businesses will now operate under the FedEx Express business unit and the transaction is subject to necessary regulatory approvals and customary closing conditions where in Malawi will be under the licensing conditions of the Malawi Communication Regulatory Authority (Macra).
Once the acquisition is completed, FedEx Express will have direct access across the seven markets to 39 facilities and will welcome approximately 1,000 of Supaswift’s team members, who will join the ranks of more than 300,000 FedEx team members globally.
The firm says it will then offer a complete suite of FedEx branded export, import and domestic solutions, connecting Southern Africa to more than 220 countries and territories worldwide, enhancing customers’ business flexibility and speed to market.
“The acquisition of Supaswift’s businesses, once closed, will provide customers with greater access to some of the world’s most rapidly growing economies,” said Frederick W. Smith, Chairman, President and Chief Executive Officer of FedEx Corp. “It is an important step in our international growth strategy and further strengthens our FedEx Express portfolio.”
Gerald P. Leary, President of FedEx Express Europe, Middle East, Indian Subcontinent and Africa, quipped that “FedEx Express has been active in Africa since the early 1990’s, through a well-established network of Global Service Providers. This acquisition, once completed, will reaffirm our support to customers in this region.”
On the other hand, Andrew Lovell, Chief Executive Officer, Supaswift (Pty) Ltd said they are joining one of the most admired companies and best places to work globally.
“The transaction, once closed, will put us in a solid position to meet the growing needs of our customers, representing a common commitment to offer an enhanced service portfolio and superior quality to both current and prospective customers,” he said.
Supaswift started operations in South Africa in 1990 and in 2005, it merged with MyExpress Pty Ltd., which had been offering FedEx Express international services in Southern Africa since 1991.