FedEx is acquiring an Israeli company’s express delivery business, the Memphis logistics giant announced in a news release Tuesday.
FedEx Express’ service agreement with Flying Cargo Group in Israel is set to expire, and the Memphis logistics giant said it wants to keep the company’s International Express business around after working with them for close to three decades.
“Israel has been and remains an important market for FedEx, and our strong reputation in the market is built on nearly 30 years of trust with our partner and the employees of Flying Cargo,” said Bert Nappier, president of FedEx Express Europe, in a statement. “This exciting acquisition, once closed, leverages that relationship to offer customers an even broader portfolio of services with a seamless link to our unrivaled global network.”
Terms of the deal were not disclosed. The acquisition, subject to regulatory approval, is expected to close in the first half of 2019.
Flying Cargo introduced FedEx Express to the Israeli market, with FedEx serving the Middle Eastern country through Flying Cargo’s international division starting in 1990, the release said.
Flying Cargo will continue offering its other logistics services outside the express delivery business once the deal closes, the release said.