FedEx set to buy rival firm TNT for €4.4bn

FedEx said yesterday that it would buy Dutch package delivery firm TNT Express for €4.4bn, aiming to take on bigger rivals United Parcel Service (UPS) and Deutsche Post in Europe.

European regulators blocked a 2013 takeover of TNT by UPS due to concerns it would stifle competition, but analysts and executives said yesterday that FedEx, with its strong air fleet, would complement TNT’s expansive European road network.

“This (acquisition) will dramatically lower our cost to serve European markets,” FedEx communications vice president Patrick Fitzgerald said.