Fedex is reportedly looking to acquire a majority stake in the parcel service provider Hermes

According to the ‘Handelsblatt’, the American courier service provider Fedex is working on acquiring the Otto subsidiary Hermes. However, Otto rejected talks with the also interested Amazon and the logistics division of Alibaba.

(Hamburg) This year, a partial acquisition is expected to take place, as Otto CEO Alexander Birken explained to the publication. The negotiations are well advanced. Hermes is still operating at a loss in Germany. With a partner, knowledge can be exchanged, synergies can be achieved, and the necessary investments can be shared.

According to CFO Petra Scharner-Wolf, a partial sale aims to secure a say in whatever form. She further stated that Hermes is on a good path in Germany and has returned to profitability, which facilitates negotiations with a partner.

Four years ago, Fedex already acquired the competitor TNT Express, with whose integration it struggled for a long time. For Fedex, this acquisition would be of strategic importance, as it is currently only moderately positioned in the European parcel business. There are definitely synergy potentials with overseas shipments.

Hermes’ business in the UK, which is significantly more profitable than that in Germany, could go to another investor with financial investor Advent.

Title photo: Hermes

Photo text: Pixabay / John R. Perry

www.hermesworld.com – www.fedex.com