Ceva Logistics to acquire logistics provider in Turkey

Ceva Logistics, the world’s fifth-largest logistics service provider by gross revenue and part of France-based CMA CGM Group, announced Saturday it has agreed to acquire Turkey-based Borusan Tedarik for $400 million in cash and debt.

Borusan Tedarik offers contract logistics, finished vehicle logistics, truckload and less-than-truckload service, as well as air and ocean freight management, and customs brokerage. In addition to Turkey, it also has operations in Germany, Bulgaria, Hong Kong and China. Last year the company had gross revenue – which differs from net revenue, which subtracts the cost of purchasing transportation on a customer’s behalf – of $567 million.

Ceva Logistics said it is buying the entire company, including all the privately held shares and the publicly traded ones. The transaction must still meet closing conditions and regulatory approvals before it can be finalized.

Ceva said Borusan Tedarik, which has about 4,000 employees, will strengthen its position in Turkey. The acquisition will nearly double the size of Ceva’s domestic warehousing and distribution infrastructure to 12.9 million square feet. In addition, the combined ground transport activities of the companies will move about 1 million loads per year. The deal will also elevate Ceva to the upper echelon of finished vehicle, ocean and air logistics capacity in Turkey, according to the company.