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FedEx to Acquire Polish Company (FDX)

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FedExFedEx Corp. (NYSE: FDX) on Thursday announced that it is acquiring a Polish family owned shipping business, Opek Sp: Z.O.O. for an undisclosed amount, as it wants to steadily expand its base in the Europe.

FedEx which is world number 2 Company in package delivery business said that it wants to grow organically and through small purchases in Europe as it expects mild recession in the euro-zone.


Headquartered in Memphis, Tennessee, FedEx said in a statement that its Express division will have access to Opek’s domestic ground network, which is estimated to generate $70 million annual revenue. Opek also has about 12.5 million shipments annually.

In a statement, FedEX CEO, Frederick W Smith said, “We have an excellent strategy that has steadily advanced our position in the region, and we are well-positioned for profitable growth as we increase the number of direct-served locations in Europe”.

FedEx entered the Polish package delivery market in 1989.

FedEx buying decision comes just after its larger rival United Parcel Service Inc. (NYSE: UPS) announced last month that it will be acquiring a Dutch Company TNT Express NV for about $6.8 billion.

Analysts expect that UPS decision to buy TNT will allow the company to boost its position outside the United States.

 

 

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edliston
Post Written By: Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.


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Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing.

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