From the Datamonitor NewsWireFedEx has signed an agreement to buy Tianjin Datian W Group's (DTW Group) 50% share of the FedEx-DTW International Priority express joint venture and DTW Group's domestic express network in China.
The acquisition will include DTW Group's 50% share in the International Priority express joint venture, converting the joint venture into a wholly FedEx-owned company; the DTW Group assets used to perform International Priority services; and DTW Group domestic express assets from 89 DTW Group locations.
"China is changing the world's economic landscape, and FedEx has been part of this great change since we established express operations in China more than 20 years ago," said Frederick Smith, FedEx chairman, president and chief executive. "This strategic investment in the long-term growth of China will broaden and deepen our relationship by improving access to important markets, fueling economic development for years to come."
Upon closure of the deal, FedEx will employ more than 6,000 people in China.