Corp., seeking more control of its global supply chain, plans to buy out Con-way Inc.’s share of a 6-year-old joint venture, the trucking and logistics company says.
The San Mateo, CA-based Con-way says GM intends to exercise its right to initiate talks to purchase Vector SCM LLC – a JV created by Con-way subsidiary Menlo Worldwide LLC and GM in December 2000.
Vector SCM provides logistics support and other services for GM’s global supply chain.
Buying the JV is consistent with GM’s turnaround plan and its goal of integrating global logistics, Con-way notes.
The two companies have not placed a monetary value on the JV but will begin discussions soon on the terms of a transaction, Con-way says. The two also will form a transition team to manage the handoff of services and functions.