Tower Group International, a subsidiary of FedEx Trade Networks, has agreed to acquire the assets of a division of Fritz Companies that provides customs clearance for FedEx Express.
Terms were not disclosed yesterday, but the transaction is expected to close within 30 days. As part of the agreement, existing litigation between the companies concerning Fritz express-clearance operations will be resolved.
Fritz Companies Inc. is one of the world's leading freight-forwarding, customs brokerage and logistics concerns. United Parcel Service acquired Fritz in 2001.
Tower Group will acquire the express clearance operations conducted by the division at FedEx Express facilities in Memphis, TN; Oakland, CA; and Anchorage, AK, and support operations in Springfield, MO.
FedEx Trade Networks will operate these facilities through Tower Group, which will extend employment offers to all of the roughly 1,000 Fritz employees supporting these operations.
