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Maersk to integrate services like UPS and FedEx

Staff Writer |
A.P. Moller-Maersk is looking for more shipping takeovers and plans to integrate its transport and logistics business to offer more supply-chain management services like United Parcel Service (UPS) and FedEx.

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"Our aim is to become a global integrator of container logistics," Maersk Chief Executive Soren Skou told investors on Tuesday at the group's capital markets day gathering in Copenhagen.

In a major shake-up announced in September, the Danish shipping-and-oil conglomerate said it would split the group into two divisions focused on transport and energy. Maersk Line, its shipping unit, would oversee the transport division, while the group's oil interests would be consolidated into the energy division that will embark on joint ventures, mergers or independent listings over the next two years.

More than half of the company's revenue comes from Maersk Line, the world's biggest container operator by capacity, which moves about 19% of all seaborne container cargo and is seen as a barometer of global trade.

Maersk plans to move more ships in and out of APM Terminals, its own global ports operator, and move more cargo inland through DAMCO, its supply-management division handling air freight, trucks and warehouses around the world, Mr. Skou said.

Maersk aims to replace the roughly $10 billion revenue that would be lost from the energy division - about a quarter of the group's total revenue - with the expansion in transport and logistics, he said.


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