XPO Logistics, the global transport and logistics giant, has completed its acquisition of the majority of Kuehne+Nagel’s contract logistics operations in the UK and Ireland.
The deal expands XPO’s contract logistics network in the UK and Ireland to 248 locations and approximately 26,000 employees.
The acquired operations provide a range of logistics services, including inbound and outbound distribution, reverse logistics management and inventory management, primarily in the beverage, technology and e-commerce, and food service distribution.
XPO, which has its UK headquarters in Northamptonshire, conducts the majority of its European operations through its subsidiary, XPO Logistics Europe.
Malcolm Wilson, XPO Logistics chief executive officer for Europe, said, “We’re pleased to complete the Kuehne + Nagel acquisition and welcome these prestigious new customers and talented colleagues to XPO.
“We look forward to the new opportunities that have been created by the combined resources of our larger organisation.”
XPO Logistics operates in 30 countries, with 1,499 locations and approximately 97,000 employees. It has more than 50,000 customers. Its global corporate headquarters are in Greenwich, Connecticut, USA, and its European headquarters are in Lyon, France.
Kuehne+Nagel said the divestment of a major part of its UK contract logistics portfolio to XPO, was part of a restructuring that also included the sale of its contract logistics activities in Argentina, its chilled packaged consumer goods portfolio in France as well as a portfolio of real estate assets.
It said the UK transaction came after the “unconditional approval” of the British Competition and Market Authority, and includes its drinks logistics, food services and retail & technology businesses.
Dr. Joerg Wolle, chairman of Kuehne+Nagel International AG, said: “We initiated the strategic review of our contract logistics activities in the board of directors in early 2019 and informed our business partners and the public accordingly.
“With the divestment of parts of our contract logistics business in the UK, the focused, comprehensive restructuring process was successfully completed.
“The business unit is now well positioned to concentrate on scalable solutions worldwide, particularly in the e-commerce and pharmaceutical sectors.”
