CMA CGM given green light to buy 25% stake in CEVA Logistics
CMA CGM, the third la...
CMA CGM has been given the green light to buy a 25% stake in CEVA Logistics in a deal worth up to $462mn, it has been announced.
CMA CGM, the third largest container shipping group in the world, made a strategic investment in convertible securities issued by CEVA in a concurrent private placement at the time of CEVA's initial public offering on the SIX Swiss Exchange.
The company has now obtained all required regulatory approvals and the securities will be converted into registered ordinary shares in the coming days.
Following conversion, CMA CGM will hold 24.99% of CEVA's share capital. CMA CGM has entered into a lock-up agreement for one year following the IPO and has agreed not to increase its shareholding in CEVA for six months post-IPO.
CEVA and CMA CGM will work together to expand their commercial cooperation and to develop complementary services, which address the increasing customer need for integrated end-to-end solutions.
Both companies explore arms-length cooperation and believe that the partnership could create significant value to customers and would be mutually beneficial to both companies.
CEVA's CEO, Xavier Urbain, commented: "It is good news that regulatory approvals have been obtained so quickly and we can now fully engage. We are excited about the partnership with CMA CGM."