Nippon Express completes its CAD 1.8 billion acquisition of Metro Supply Chain, enhancing its North American logistics capabilities.
Nippon Express, the Asia-based ocean freight forwarding giant, has announced the completion of its acquisition of 100% of the shares of Canadian logistics enterprise Metro Supply Chain Group Inc. The closing ceremony was held on 7 October in Montreal, Canada.
According to previously released announcements and public tender offer documentation, this transaction represents the largest acquisition in Nippon Express's history, with a transaction value of approximately CAD 1.8 billion (approximately USD 1.26 billion). Should Metro Supply Chain achieve agreed financial targets, the seller will be entitled to an additional earnout of up to CAD 400 million (approximately USD 281 million), bringing the maximum total consideration to CAD 2.2 billion (approximately USD 1.54 billion).
Founded in 1974 and headquartered in Canada, Metro Supply Chain operates contract logistics services across the retail, consumer goods, automotive and manufacturing, healthcare and wellness, technology services, and public sector segments, with an established operational presence in Canada, the United States, and the United Kingdom. As of October 2026, Metro Supply Chain employs 9,000 people, operates 190 sites across North America and the United Kingdom, and manages more than two million square metres of warehouse space.
With the completion of this acquisition, Metro Supply Chain becomes a subsidiary of Nippon Express. The transaction enables Nippon Express to extend its influence across the North American market and reinforce its end-to-end logistics service capabilities. Nippon Express has positioned Metro Supply Chain as a core enterprise within its contract logistics operations, with plans to replicate its operational expertise in order receipt, inventory management, and shipment processing - as well as its warehouse automation technology - across European and Asian markets.
To accelerate business integration, Nippon Express will connect into Metro Supply Chain's international transportation programmes, constructing a business model that layers freight forwarding and customs clearance services onto a contract logistics foundation, thereby maximising the synergies between both organisations' customer bases and regional strengths. This integration strategy reflects the broader industry-wide shift from single-link transportation services toward comprehensive, full-chain supply chain solutions.
Metro Supply Chain will continue to operate under its existing name in Canada, the United States, and the United Kingdom, with its management team remaining in place. Founder Chiko Nanji continues to serve as Chairman of the company, with the Montreal, Canada headquarters and the Canadian market remaining central to its operations.
According to the 2026 Global Top 50 Ocean Freight Forwarders rankings, Nippon Express holds seventh position, having handled 1.806 million TEUs of ocean freight volume in 2025. From January to August 2026, the company completed approximately 851,000 TEUs of ocean freight, representing year-on-year growth of 3.72%.
This acquisition is not an isolated transaction. In recent years, the world's leading freight forwarding enterprises have pursued a sustained programme of acquisitions to expand their contract logistics capabilities, strengthen customer retention, and improve margin profiles. Contract logistics - encompassing warehouse management, order fulfilment, and inventory optimisation - typically features longer contract cycles and higher service-added value, enabling freight forwarders to reduce their dependence on spot ocean freight rate volatility.
Through this acquisition, Nippon Express secures not only a scaled warehousing and distribution network across North America, but also the capacity to export Metro Supply Chain's automation technology and operational expertise into Asia-Pacific and European markets, establishing a complementary cross-regional capability. For domestic freight forwarding enterprises, this development signals that - against a backdrop of intensifying freight rate volatility and sustained margin pressure in traditional booking operations - expanding into contract logistics and end-to-end supply chain services may represent a critical pathway to building resilience through industry cycles.
