Ceva Logistics, a global logistics and supply chain company, has joined forces with Almajdouie Logistics to set up a new entity in Saudi Arabia that will target industry verticals - ranging from conventional energy and petrochemicals industry to automotive, e-commerce, consumer and retail.

 

A unit of CMA CGM, the world's third-largest container transportation and shipping company, Ceva is based at Marseille, France while Almajdouie Logistics is headquartered in Dammam and operates over 1.2 million sq m of terminal and warehousing and an expansive fleet of vehicles and trailers.

 

The deal would give Almajdouie Logistics access to its global network, while Ceva would be able to build on a strong, established presence in Saudi Arabia, said the company in a statement.

 

The joint venture’s completion, however, is subject to regulatory approvals with Ceva Logistics having majority control, it stated.

 

"We have worked successfully with Almajdouie Logistics over the past decade, and with the growing market in Saudi Arabia, this joint venture would strengthen our local presence," remarked Mathieu Friedberg, the CEO of Ceva Logistics.

 

"By combining our complimentary capabilities, the JV’s customers would have access to bespoke global solutions implemented reliably by local experts," he stated. 

 

On the new venture, CEO Mohammed Almajdouie said: "By pooling our expertise and resources through this partnership, we aim to strengthen our competitive advantage and offer an integrated and comprehensive suite of logistics services enabling us to capitalise on the opportunities presented by the Kingdom's vibrant and rapidly evolving business landscape."

 

Once operational, the joint venture would have around 2,000 employees in the kingdom with a local fleet of more than 2,000 assets, he added.-TradeArabia News Service