FedEx has agreed to buy out its Chinese partner's 50 percent share and creating it into a wholly-owned subsidiary. FedEx will pay $400 million for Tianjiin Datian W. Group Co.'s 50 percent share in their FedEx-DTW International Priority express joint venture as well as DTW's domestic express network.
The transaction includes assets from DTW Group's 89 locations. When the transaction is complete, FedEx will employ more that 6,000 people in China. FedEx has been operating in China since 1984 and began direct flights to the mainland in 1996. They are building a regional operations center in Guangzhou.
