The partnership was already announced on 19 December 2024, the Portuguese company reported.

CTT Expresso and DHL eCommerce announced in 2024 a strategic partnership for parcel distribution in Portugal and Spain that foresees the cross-acquisition of stakes between the two companies.

Efficient parcel delivery networks

The two companies will "combine highly efficient parcel delivery networks in B2B (business-to-business) and B2C (business-to-consumer) e-commerce, including out-of-home deliveries, with a daily capacity of over one million shipments in the Iberian Peninsula," as CTT indicated in 2024.

The objective is to "strengthen efficiency and address growth opportunities in the e-commerce and parcel distribution markets" in Spain and Portugal, which together constitute the fourth-largest market in Europe.

Authorised by EC

In a statement, CTT says that EC authorisation was the main prerequisite requiring approval from an external regulatory authority.

"With this requirement now met, both parties will proceed with the remaining steps necessary to complete the transaction and formally establish the joint venture, subject to authorisation under the EU Regulation on Foreign Subsidies (FSR) and the usual closing conditions," the statement said.

The transaction is expected to be completed in May of this year.

"The agreement, which will generate combined revenues of one billion euros, will create two of the most comprehensive parcel collection and delivery networks in the Iberian Peninsula, with a daily capacity of over 1 million shipments supported by the creation of joint ventures in both countries," according to the CTT statement.

Consolidating the partnership

To consolidate the partnership, CTT Expresso acquires DHL eCommerce Portugal and a 25% stake in DHL eCommerce Spain.

In turn, DHL eCommerce acquires a 25% stake in CTT Expresso.

According to the statement, both CTT and DHL may increase their stakes by up to 49%.

In Portugal, CTT Expresso will take over DHL eCommerce's local operations, becoming jointly responsible for the handling and distribution of DHL eCommerce parcels nationwide.

Complementary model

In Spain, the collaboration will follow a clear, complementary model: CTT Express (the Spanish subsidiary of CTT Expresso) will focus on B2C services, and DHL eCommerce Spain on B2B activities.

Quoted in the statement, CTT CEO João Bento emphasises that "CTT and DHL eCommerce combine a long-standing experience and common values ​​in the parcel and logistics sector, where quality and reliability are essential."

"This partnership, collaborating with DHL eCommerce in Spain and integrating DHL eCommerce in Portugal, allows CTT Expresso to accelerate its growth, expand its presence and reinforce its position as one of the fastest growing e-commerce logistics operators in Iberia," he said.

Pablo Ciano, CEO of DHL eCommerce, said, as quoted in the note, that he hopes "to jointly create a high-performance network that offers quality, reliability and value to B2B and B2C customers in Spain and Portugal."