Source: Bridgepoint Investment Banking, Capital IQ, SDR
Ventures, PWC, Merrill Insights, BLS Census Bureau, Deloitte,
GrandView Research
Selected Recent Industry Transactions
bridgepointib.com
2
25%
75%
Private Equity
Strategic
Selected Public Comparables($ in millions, except per share
data) 2/8/2019 Equity Enterprise P / E TEV / Revenue TEV / EBITDA
TEV / EBIT
Company Name Country Share Price Value Value LTM LTM LTM LTM
AdvanSix Inc. United States $31.28 $932.2 $1,112.0 8.3x 0.74x
7.8x 12.3x
Core Molding Technologies, Inc. United States $8.32 $67.4 $109.2
NM 0.46x 9.2x 28.6x
The Eastern Company United States $25.25 $158.0 $175.7 16.0x
0.76x 7.1x 8.9x
Pro-Dex, Inc. United States $15.20 $63.0 $57.1 20.9x 2.28x 10.7x
11.7x
Plexus Corp. United States $56.19 $1,737.1 $1,744.5 14.1x 0.59x
9.4x 12.8x
Sturm, Ruger & Company, Inc. United States $55.97 $977.1
$839.3 20.2x 1.70x 8.7x 13.3x
Sanmina Corporation United States $32.16 $2,200.7 $2,514.1 23.0x
0.33x 7.5x 11.6x
Sonoco Products Company United States $58.70 $5,858.8 $7,017.1
24.5x 1.32x 9.6x 14.1x
Trinseo S.A. United States $46.71 $1,976.8 $2,738.7 5.0x 0.59x
4.0x 4.9x
P / E TEV / Revenue TEV / EBITDA TEV / EBIT
High 24.5x 2.28x 10.7x 28.6x
Mean 16.5x 0.97x 8.2x 13.1x
Median 18.1x 0.74x 8.7x 12.3x
Low 5.0x 0.00x 4.0x 0.0x
MARCH 2019BRIDGEPOINT INSIGHTS
Key Business Considerations
Private Equity Firms with record amounts of capital are
targeting companies leading in unique verticals and increasing
valuations from financial buyers
Manufacturers Are Turning to Niche Verticals to Retain
Competitive Control
Firms that leverage supply chain efficiencies and produce molds
that were once infeasible will become more defensible with price
control
Demand for Industrial Plastics used In Automotive and Aerospace
is high with a
14,000+ commercial aircraft backlog
Tailwinds favorable to plastics, such as an increase in the
production of durable goods, are leading to high cash flow
projections and elevated valuations
Injection Molding Growth at 6.0% CAGR through the Forecast
Period (2025)
Growth in the plastic injection molding sector is expected to be
elevated over the near term – driving high valuations
Increased Production of Durable Goods (incl. Plastics) Driving
Industrial Growth
As Signaled by Job Growth
Fluctuating raw material prices in addition to growing
environmental concerns regarding disposal, could potentially hinder
future market growth
Innovation in Injection Molding is Rapid and Companies Will Need
to Continually Rethink Their Manufacturing Processes
KEY MANUFCATURING TRENDS VALUATION CONSIDERATIONS
FOCUS SECTOR: INDUSTRIALSINJECTION MOLDING INDUSTRY UPDATE
Date Target Acquiror Buyer Type
01/17/2019 Structured Polymers Inc. Evonik Corporation
Strategic
01/07/2019 Marion Process Solutions, Inc. May River Capital, LLC
Private Equity
12/21/2018 Mold Hotrunner Solutions Inc. Westfall Technik, Inc.
Strategic
12/05/2018 Trajan Scientific Americas Inc Trajan Scientific and
Medical Pty Strategic
11/28/2018 South-Tek Systems, LLC Pfingsten Partners, L.L.C.
Private Equity
11/01/2018 Specialty Silicone Products, Inc. Electronic
Technologies Group, Inc. Strategic
10/26/2018 CSL Silicones Inc. BRB International BV Strategic
10/12/2018 Quadion LLC KKR & Co. Inc. (NYSE:KKR) Private
Equity
10/05/2018 Tomken Plastic Technologies, Inc. Quality Models
Limited Strategic
10/05/2018 North American Business of Amaray Westfall Technik,
Inc. Strategic
08/06/2018 Bemis Company, Inc. (NYSE:BMS) Amcor Limited
(ASX:AMC) Strategic
07/09/2018 Rapid Production Tooling, Inc. R.L. Hudson &
Company Strategic
Comps (2)
Trucking
Selected Precedent Transactions
DateTargetAcquirorBuyer Type
01/17/2019Structured Polymers Inc.Evonik
CorporationStrategic
01/07/2019Marion Process Solutions, Inc.May River Capital,
LLCPrivate Equity
12/21/2018Mold Hotrunner Solutions Inc.Westfall Technik,
Inc.StrategicPrivate Equity4
12/05/2018Trajan Scientific Americas IncTrajan Scientific and
Medical Pty Ltd.StrategicStrategic12
11/28/2018South-Tek Systems, LLCPfingsten Partners,
L.L.C.Private Equity
11/01/2018Specialty Silicone Products, Inc.Electronic
Technologies Group, Inc.Strategic
10/26/2018CSL Silicones Inc.BRB International BVStrategic
10/12/2018Quadion LLCKKR & Co. Inc. (NYSE:KKR)Private
Equity
10/05/2018Tomken Plastic Technologies, Inc.Quality Models
LimitedStrategic
10/05/2018North American Business of AmarayWestfall Technik,
Inc.Strategic
08/06/2018Bemis Company, Inc. (NYSE:BMS)Amcor Limited
(ASX:AMC)Strategic
07/20/2018Medbio Inc.Graham PartnersPrivate Equity
07/09/2018Rapid Production Tooling, Inc.R.L. Hudson &
CompanyStrategic
06/26/2018Indiana Plastics, Inc./Kruis Mold & Engineering,
Inc.Thunderbird, LLCStrategic
06/26/2018Genesis Plastics and Engineering, LLCViking Plastics,
Inc.Strategic
05/22/2018Toledo Molding & Die, Inc.Grammer AG
(DB:GMM)Strategic
($ in millions)TEVTEV / LTM
DateTargetAcquiror($mm)SalesEBITDAEBIT
01/04/2019Precision-Hayes International Inc.General
Technologies, Inc.$23.6---
12/18/2018Formica CorporationBroadview Holding B.V.$840.0---
12/03/2018Arran Isle, Inc.Patrick Industries, Inc.
(NasdaqGS:PATK)$54.00.2x--
11/15/2018Armstrong Wood Products, Inc.American Industrial
Partners$100.0-7.2x-
08/23/2018Fiberon, LLCFortune Brands Home & Security, Inc.
(NYSE:FBHS)$470.02.4x--
08/14/2018Tandelle-PacerAtlas Engineered Products Ltd.
(TSXV:AEP)$6.60.6x4.5x-
07/24/2018WWS Acquisition, LLCPGT Innovations, Inc.
(NYSE:PGTI)$360.0-19.2x-
07/02/2018ATCO Rubber Products, Inc.Mueller Industries, Inc.
(NYSE:MLI)$162.81.0x--
03/26/2018USG Corporation (NYSE:USG)Gebr. Knauf
KG.$6937.32.2x13.1x17.7x
03/07/2018Ashland Products Inc.Amesbury Group
Inc.$101.01.5x9.0x-
02/26/2018Spectrum Brands Legacy, Inc.Spectrum Brands Holdings,
Inc. (NYSE:SPB)$9594.51.9x11.2x14.7x
01/31/2018Ply Gem Midco, Inc.Clayton, Dubilier & Rice,
Inc.$2260.61.1x9.9x13.0x
01/10/2018ADO Products Inc.TopBuild Corp.
(NYSE:BLD)$21.30.8x--
High2.4x19.2x17.7x
Mean1.3x10.6x15.1x
Median1.1x9.9x14.7x
Low0.2x4.5x13.0x
Private EquityStrategic412
Screening (2)
Capital IQ Transaction Screening Report
All Transactions Announced
DateTarget/IssuerExchange:TickerTransaction TypesTransaction
StatusTotal Transaction Value ($USDmm, Historical
rate)Buyers/InvestorsSellersCIQ Transaction IDIndustry
Classifications [Target/Issuer]Geographic Locations
[Target/Issuer]Total Consideration to Shareholders ($USDmm,
Historical rate)Percent Sought (%)Transaction CommentsImplied
Enterprise Value ($USDmm, Historical rate)Implied Equity Value
($USDmm, Historical rate)Implied Enterprise Value/Revenues
(x)Implied Enterprise Value/EBITDA (x)Implied Enterprise Value/EBIT
(x)Implied Equity Value/LTM Net Income (x)Implied Equity Value/Book
Value (x)Business Description [Target/Issuer]Primary Industry
[Target/Issuer]Primary Address [Target/Issuer]Website
[Target/Issuer]Target/Issuer LTM Financials - Total Revenue (at
Announcement) ($USDmm, Historical rate)Target/Issuer LTM Financials
- EBITDA (at Announcement) ($USDmm, Historical rate)Target/Issuer
LTM Financials - Net Income (at Announcement) ($USDmm, Historical
rate)Target Stock Premium - 1 Day Prior (%)Target Stock Premium - 1
Week Prior (%)Target Stock Premium - 1 Month Prior (%)Acquirer LTM
Financials - Total Revenue (at Announcement) ($USDmm, Historical
rate)Acquirer LTM Financials - EBITDA (at Announcement) ($USDmm,
Historical rate)Acquirer LTM Financials - Net Income (at
Announcement) ($USDmm, Historical rate)Consideration OfferedTarget
Security TypesAdvisors To TargetAdvisors To BuyersAdvisors To
SellersPre-Deal SituationDeal ResolutionAccounting MethodDeal
AttitudeSell-Side Termination Fee (%)Sell-Side Termination Fee
($USDmm, Historical rate)
11/05/2018CaseStack, Inc.-Merger/AcquisitionAnnounced255.0Hub
Group, Inc. (NasdaqGS:HUBG)-IQTR590235944TruckingUnited States and
Canada (Primary)255.0100.0Hub Group, Inc. (NasdaqGS:HUBG) entered
into an agreement to acquire CaseStack, Inc. for approximately $260
million on November 5, 2018. The transaction consideration will be
paid with cash on hand and borrowings from Hub Group’s credit
facility. CaseStack’s senior leadership team will remain with the
business. As of September 30, 2018, the revenue reported by
CaseStack was approximately $242 million and EBITDA of
approximately $22 million. The transaction is subject to the
satisfaction of customary closing conditions and required
approvals. The transaction is expected to close by early
December 2018. Hub Group expects the transaction to be
accretive to earnings in 2019. Winston & Strawn LLP acted as
legal advisor to Hub Group and Goodwin Procter LLP acted as legal
advisor to CaseStack. Oppenheimer & Co. Inc. acted as financial
advisor to CaseStack.255.0255.01.0511.59---CaseStack, Inc. provides
integrated logistics solutions to retailers and CPG companies. It
offers truckload, LTL, intermodal, port drayage, expedited
services, ocean, air, and temperature controlled transportation
solutions; and transportation brokerage, retailer consolidation,
warehousing, carrier opportunities, and cloud services. The company
was founded in 1999 and is based in Santa Monica, California. It
has additional offices in Buena Park and Ontario, California;
Fayetteville, Arkansas; Grand Prairie, Texas; Kennesaw and
McDonough, Georgia; Taylor, Pennsylvania; Cincinnati, Ohio;
Naperville and Romeoville, Illinois; Kent and Seattle, Washington;
Minneapolis, Minnesota; Vaughan, Canada; Belgrade, Serbia; and
Mandaluyong City, the Philippines.Air Freight and
LogisticsHeadquarters3000 Ocean Park BoulevardSuite 1000 Santa
Monica, California 90405United StatesMain Phone: 310-473-8885Main
Fax: 310-943-4137Other Phone:
866-828-7120ww2.casestack.com242.022.0----4,486.37210.68165.44CashCommon
EquityOppenheimer & Co. Inc. (Financial Advisor); Goodwin
Procter LLP (Legal Advisor)Winston & Strawn LLP (Legal
Advisor)-Hub Group, Inc. (NasdaqGS:HUBG) intends to pursue
acquisitions. “Our 2017 revenue of $4 billion is one significant
milestone toward achieving our target of $6 billion in revenue in
the next five years. We intend to achieve $6 billion in revenue
through organic growth initiatives and acquisitions in both our
core business and new service offerings." said Dave Yeager, Hub's
Chief Executive Officer.
Hub Group, Inc. (NasdaqGS:HUBG) is exploring strategic
alternatives for Mode Transportation, LLC, with the intention of
using the proceeds for investments in its existing business,
including technology initiatives, and for acquisitions of
businesses in both new and existing service lines.
Hub Group, Inc. (NasdaqGS:HUBG) is looking for acquisitions. The
company recently said that it will use the proceeds from the sale
of its subsdiary Mode Transportation, LLC for acquisitions of
businesses in both new and existing service
lines.-AcquisitionFriendly--
10/25/2018J & B Services,
Inc.-Merger/AcquisitionClosed6.4Milan Supply Chain
Solutions-IQTR589397399Trucking (Primary)United States and Canada
(Primary)6.4100.0Milan Supply Chain Solutions acquired J & B
Services, Inc. from a family for $6.4 million on October 25, 2018.
BlackRose Advisors acted as financial advisor to Milan Supply Chain
Solutions.6.46.4-----J & B Services, Inc. provides
transportation and trucking services. The company was founded in
1986 and is based in Pontotoc, Mississippi. As of October 25, 2018,
J & B Services, Inc. operates as a subsidiary of Milan Supply
Chain Solutions.TruckingHeadquarters8308 Highway 6 East Pontotoc,
Mississippi 38863United StatesMain Phone: 662-844-1611Main Fax:
662-844-1748www.jandbservices.com---------CashCommon
Equity-BlackRose Advisors (Financial Advisor)--Milan Supply Chain
Solutions completed the acquisition of J & B Services, Inc.
from a family on October 25, 2018.AcquisitionFriendly--
10/24/2018Martin Transport,
Inc.-Merger/AcquisitionAnnounced145.0Martin Operating Partnership
L.P.Martin Resource Management
CorporationIQTR588508329TruckingUnited States and Canada
(Primary)125.0100.0Martin Operating Partnership L.P. entered into a
stock purchase agreement to acquire Martin Transport, Inc. (MTI)
from Martin Resource Management Corporation (MRMC) for
approximately $150 million on October 22, 2018. The consideration
is subject to adjustments and includes an upfront payment of $125
million, assumption of liabilities of up to $10 million and an
earn-out payment of up to $10 million based on achieving EBITDA in
excess of $22.6 million per year in years 2019, 2020 and 2021. This
acquisition will be funded from the Martin Operating Partnership’s
revolving credit facility. The purchase price reflects an EBITDA
multiple between 5.7 times and 6 times based on MTI's forecasted
2019 net income of $9.3 million and EBITDA of $23.6 million.
The transaction is subject to certain conditions including all
consents and approvals from the governmental authorities; MRMC
delivering executed and signed master service agreement to Martin
Operating Partnership; approval by Board of Directors of MRMC and
obtaining financing. The deal is expected to close in January 2019.
The acquisition is estimated to generate $16 million of additional
incremental EBITDA in 2019. Stephens Inc. provided a fairness
opinion to the conflicts committee of Martin Operating
Partnership's general partner and to the Board of Directors of
MRMC. Houlihan Lokey Capital, Inc. provided a fairness opinion to
the Board of Directors of Martin Operating Partnership's general
partner. Carol Glendenning of Clark Hill Strasburger acted as legal
counsel to MRMC. Michael Hainsfurther of Munsch Hardt Kopf &
Harr, P.C. acted as legal counsel to the conflicts committee of
Martin Operating Partnership's general partner and Locke Lord LLP
acted as legal counsel to Martin Operating
Partnership.145.0125.0-----Martin Transport, Inc. transports
petroleum products, liquid petroleum gas, molten sulfur, sulfuric
acid, paper mill liquids, chemicals, dry bulk, and various other
bulk liquid commodities. It transports acids/caustics, anhydrous
ammonia, asphalt, crude oil, ethane/ethylene, hot tanks, methanol,
acetone, toluene, xylene, petroleum products, pulpmill liquid, and
sulfur products. It serves Fortune 500 companies, including
petroleum, petrochemical, agriculture, utilities, and chemical
through truck trailers, tank trucks, tank barges, and
pushboats/tugboats in the United States. Martin Transport, Inc. was
incorporated in 1988 and is based in Kilgore, Texas. It has
locations in Arcadia, Baton Rouge, Bossier City, and Reserve,
Louisiana; Crossett, West Memphis, Smackover, and Stephens,
Arkansas; Hattiesburg, Mississippi; Chattanooga, Tennessee; San
Antonio, Baytown, Beaumont, Corpus Christi, Houston, Kilgore,
Longview, Odessa, and Plainview, Texas; Kenova, West Virginia;
Mobile, Alabama; and Tampa, Florida. Martin Transport, Inc.
operates as a subsidiary of Martin Resource Management Corp.Oil and
Gas Storage and TransportationHeadquarters4200 B Stone Road
Kilgore, Texas 75662United StatesMain Phone: 800-256-6644Main Fax:
903-986-8840www.themartincompanies.com---------CashCommon
Equity-Stephens Inc. (Fairness Opinion Provider); Locke Lord LLP
(Legal Advisor); Munsch Hardt Kopf & Harr, P.C. (Legal
Advisor); Houlihan Lokey Capital, Inc. (Fairness Opinion
Provider)Stephens Inc. (Fairness Opinion Provider); Clark Hill PLC
(Legal Advisor)--AcquisitionFriendly--
10/24/2018Substantially All of the Assets of Southwest Freight
Distributors, Inc.-Merger/AcquisitionAnnounced16.25Central States
Trucking Co.Southwest Freight Distributors
Inc.IQTR588816175Trucking (Primary)United States and Canada
(Primary)16.25100.0Central States Trucking Co. entered into an
agreement to acquire substantially all of the assets of Southwest
Freight Distributors, Inc. for $16.3 million on October 24, 2018.
The acquisition will be funded by a combination of cash on hand.
The closing of the transaction is subject to various customary
conditions, including but not limited to, compliance with the
covenants and agreements in the definitive agreement in all
material respects. The transaction will close within a
month.16.2516.25-----Substantially All of the Assets of Southwest
Freight Distributors, Inc. comprises fright transportation
business. The asset is located in the United
States.TruckingHeadquartersUnited
States----------CashAsset-----AcquisitionFriendly--
10/18/2018Davis Transfer Company Inc./Davis Transfer Logistics
Inc./B & G Leasing, L.L.C.-Merger/AcquisitionClosed53.0USA
Truck, Inc. (NasdaqGS:USAK)-IQTR587342519Trucking (Primary)United
States and Canada (Primary)53.0100.0USA Truck, Inc. (NasdaqGS:USAK)
entered into an equity purchase agreement to acquire Davis Transfer
Company Inc. and Davis Transfer Logistics Inc. and B & G
Leasing, L.L.C. (collectively “Davis”) for $53 million on October
18, 2018. Pursuant to the terms, USA Truck paid $52.25 million in
cash and $0.75 million of its equity for acquisition of all issued
and outstanding equity interests in a cash-free, debt-free
transaction. The purchase price is subject to a customary working
capital adjustment post-closing. The cash consideration was funded
pursuant to a draw on USA Truck’s existing credit facility
with Bank of America, National Association. In connection with the
Transaction, on October 18, 2018, USA Truck entered into a joinder
agreement with Bank of America, National Association, which joined
Davis to USA Truck’s existing credit facility. Davis will operate
as a wholly owned subsidiary of USA Truck. Davis generates
approximately $50 million in revenues. Todd Davis will join the USA
Truck leadership team as a Vice President. The transaction is
expected to be immediately accretive to USA
Truck.53.053.01.06----Davis Transfer Company Inc./Davis Transfer
Logistics Inc./B & G Leasing, L.L.C. represents the combined
operations of Davis Transfer Company Inc., Davis Transfer Logistics
Inc., and B & G Leasing, Inc. in their sale to USA Truck, Inc.
As of October 18, 2018, Davis Transfer Company Inc./Davis Transfer
Logistics Inc./B & G Leasing, L.L.C. was acquired by USA Truck,
Inc. Davis Transfer Company, Inc. offers general and expedited
truckload services. Davis Transfer Logistics Inc. offers truckload
services. B & G Leasing, Inc. provides dry-van truckload
carrier services. The companies are based in the United
States.TruckingHeadquartersUnited
States-50.0-----516.2544.9321.7CombinationsCommon Equity----USA
Truck, Inc. (NasdaqGS:USAK) completed the acquisition of Davis
Transfer Company Inc. and Davis Transfer Logistics Inc. and B &
G Leasing, L.L.C. on October 18, 2018. AcquisitionFriendly--
10/18/2018American Fast Freight,
Inc.-Merger/AcquisitionAnnounced465.0Odyssey Logistics &
Technology Corporation-IQTR587349273TruckingUnited States and
Canada (Primary)465.0100.0Odyssey Logistics & Technology
Corporation entered into an agreement to acquire AFF Global
Logistics for approximately $470 million on October 18, 2018. The
consideration is in a combination of cash and equity. The
acquisition will add 35 global locations and 600 employees to
Odyssey. The transaction is subject to satisfaction of customary
closing conditions and is expected to close by year-end. The
acquisition will be accretive. RBC Capital Market acted as
financial advisor to American Fast Freight,
Inc.465.0465.0-----American Fast Freight, Inc., a transportation
and logistics company, provides domestic offshore and international
ocean freight forwarding of dry and temperature-controlled products
in the United States. It offers ocean freight forwarding, project
logistics, and warehousing-distribution services;
less-than-container load and full container load services to the
Hawaiian Islands and Guam; trucking and rail forwarding services;
third party warehousing, cold storage, and distribution services;
and shredding services. The company handles cargo and projects,
such as heavyweight-over-dimensional, ocean freight
forwarding-steamship and barge, aircraft and barge charters, and
full trailer loads. It engages in handling commercial and
residential moving needs, including personal effects and household
goods. American Fast Freight, Inc. was founded in 1982 and is based
in Fife, Washington with office locations and facilities in Renton
and Fife, Washington; Rancho Dominguez and San Leandro, California;
Honolulu, Hawaii; and Anchorage, Fairbanks, and Soldotna,
Alaska.MarineHeadquarters7400 45th Street Court East Fife,
Washington 98424United StatesMain Phone: 253-926-5000Main Fax:
253-926-5100Other Phone:
800-642-6664www.americanfast.com---------CombinationsCommon
EquityRBC Capital Markets LLC (Financial
Advisor)----AcquisitionFriendly--
08/10/2018Southern Counties Express, Inc./Aquarius Financial,
Inc.-Merger/AcquisitionClosed65.0Mason Dixon Intermodal,
Inc.-IQTR577085178Trucking (Primary)United States and Canada
(Primary)64.23100.0Mason Dixon Intermodal, Inc. acquired Southern
Counties Express, Inc. and Aquarius Financial, Inc. from Rocio
Griley and Brian Griley for $65 million on August 10, 2018. Under
the terms of the purchase agreement, the purchase price was
determined on a cash-free, debt-free basis and is subject to
customary post-closing adjustments. Simultaneously with the
execution and delivery of agreement, Mason Dixon Intermodal will
transfer $0.33 million (“Indemnification Escrow Amount”) and $0.45
million (“Working Capital Escrow Amount”) to one account designated
by escrow agent. Escrow Funds will be released after closing.
To finance the acquisition, Mason Dixon Intermodal, Inc.
executed an amended and restated revolving credit, term loan and
security agreement with PNC Bank National Association and Steel
City Capital Funding for $180 million comprising $30 million term
loan and $150 million revolving credit facility. Pursuant to the
acquisition, Southern Counties Express, Inc. will operate as part
of Mason Dixon Intermodal, Inc. Southern Counties Express, Inc.
reported total operating revenues of $54.4 million for the
year-ended December 31, 2017. The transaction is expected to be
immediately accretive. Brendan J. Cahill of Dykema Gossett PLLC
acted as the legal advisor to Mason Dixon Intermodal, Inc. Leib
Orlanski of KL Gates LLP acted as the legal advisor to Rocio Griley
and Brian Griley. Plethora Businesses served as financial advisor
to Southern Counties Express, Inc. and Aquarius Financial, Inc.
U.S. Bank National Association acted as escrow agent for the
transaction. PrimeMark Group, Inc. acted as financial advisor to
Southern Counties Express, Inc. and Aquarius Financial,
Inc.65.064.23-----Southern Counties Express, Inc./Aquarius
Financial, Inc. represents the combined operations of Southern
Counties Express, Inc. and Aquarius Financial, Inc. in their sale
to Mason Dixon Intermodal, Inc. As of August 10, 2018, Southern
Counties Express, Inc./Aquarius Financial, Inc. were acquired by
Mason Dixon Intermodal, Inc. Aquarius Financial, Inc. is engaged in
the business of financing tractors to independent contractor truck
drivers servicing. Southern Counties Express, Inc., a trucking
company, provides transportation, warehousing, and distribution
services. The companies are based in the United
States.TruckingHeadquartersUnited States----------CashCommon
EquityK&L Gates LLP (Legal Advisor); Plethora Businesses
(Financial Advisor); The PrimeMark Group, Inc. (Financial
Advisor)Dykema Gossett PLLC (Legal Advisor)-Mason Dixon Intermodal,
Inc. completed the acquisition of Southern Counties Express, Inc.
and Aquarius Financial, Inc. from Rocio Griley and Brian Griley on
August 10, 2018.AcquisitionFriendly--
08/08/2018Capstan Hauling
Ltd.-Merger/AcquisitionClosed10.5ENTREC Corporation
(TSX:ENT)-IQTR576807273Trucking (Primary)United States and Canada
(Primary)10.5100.0ENTREC Corporation (TSX:ENT) entered into a
letter of intent to acquire Capstan Hauling Inc. on August 8, 2018.
Following completion of the acquisition, Entrec plans to merge
Entrec’s Grande Prairie oilfield transportation division with
Capstan and operate the combined business under the Capstan brand.
The shareholders of Capstan will also retain a large ownership
interest in the combined business post-acquisition and the existing
Capstan management will lead and manage the combined business going
forward.
The transaction is subject to a number of conditions, including
the execution of a definitive share purchase agreement. The
transaction is expected to close in September,
2018.10.510.5-----Capstan Hauling Ltd., an oilfield trucking
company, provides heavy haul transportation services to the oil and
natural gas industry in north-west Alberta and north-east British
Columbia. The company was founded in 2002 and is based in Grande
Prairie, Canada. As of October 2, 2018, Capstan Hauling Ltd.
operates as a subsidiary of ENTREC
Corporation.TruckingHeadquarters9511 154 Avenue Grande Prairie,
Alberta T8X 0L2CanadaMain Phone: 780-402-3110Main Fax:
780-402-3240www.capstanhauling.com------121.238.52(12.32)CombinationsCommon
Equity----ENTREC Corporation (TSX:ENT) completed the acquisition of
Capstan Hauling Inc. for CAD 13.72 million on October 2, 2018. The
aggregate consideration paid at closing consisted of: (i) the
issuance of common shares in a subsidiary of ENTREC at a value of
CAD 4 million; (ii) a promissory note of CAD 3 million bearing
interest at an annual rate of 5.00% and due September 30, 2023; and
(iii) cash of CAD 10 million less outstanding debt and finance
lease obligations at closing and less certain holdback amounts. The
final purchase price remains subject to adjustment based on
Capstan's working capital as at September 30, 2018 as well as other
post-closing adjustments.AcquisitionFriendly--
07/31/2018Substantially All Assets Of Auto Strap Transport
L.L.C.-Merger/AcquisitionAnnounced3.1Nations Fund I, LLCAuto Strap
Transport L.L.C.IQTR576571040Trucking (Primary)United States and
Canada (Primary)3.1100.0Nations Fund I, LLC entered into an asset
purchase agreement to acquire substantially all assets from Auto
Strap Transport L.L.C. for $3.45 million on July 31, 2018. Under
the terms of agreement, Nations Fund will pay $3.2 million plus
$0.25 million at closing and assumption of certain liabilities.
Nations Fund I, LLC entered into an amended asset purchase
agreement to acquire substantially all assets from Auto Strap
Transport L.L.C. for $3.1 million on August 15, 2018. Under the
terms of agreement, Nations Fund will pay $2.85 million plus $0.25
million at closing. The transaction is subject to regulatory
approval and approval by Bankruptcy court. As of August 29, 2018,
the amended agreement has been approved by the bankruptcy court.
Kristina M. Wesch of Farrell Fritz acted as legal advisor to
Nations Fund and Todd L. Turoci, Julie philippi of The Turoci Firm
acted as legal advisor to Auto Strap.3.13.1-----Substantially All
Assets Of Auto Strap Transport L.L.C. comprises transportation
business of Auto Strap Transport L.L.C. The Asset is located in the
United States.TruckingHeadquartersUnited
States----------CashAsset-Farrell Fritz (Legal Advisor)The Turoci
Firm (Legal Advisor)--AcquisitionFriendly--
07/25/2018Dacota Freight Services
Ltd.-Merger/AcquisitionClosed1.83Hi-Way 9 Group of
Companies-IQTR588589257Trucking (Primary)United States and Canada
(Primary)1.6100.0Hi-Way 9 Group of Companies acquired Dacota
Freight Services Ltd for CAD 2.4 million on April 6, 2018.
Consideration paid includes CAD 2.1 million for all the issued and
outstanding shares and CAD 0.3 million for the repayment of debt.
Included in this amount is CAD 0.2 million of contingent
consideration for achieving certain financial targets over the two
year period ending March 31, 2020.1.831.6-----Dacota Freight
Services Ltd. provides transportation and logistics services
primarily in western Canada. The company is based in Cranbrook,
Canada. As of April 6, 2018, Dacota Freight Services Ltd. was
acquired by Hi-Way 9 Group of Companies.TruckingHeadquarters1474
Theatre Road Cranbrook, British Columbia V1C 7G1CanadaMain Phone:
250-426-3808----------CashCommon Equity----Hi-Way 9 Group of
Companies completed the acquisition of Dacota Freight Services Ltd
on April 6, 2018.AcquisitionFriendly--
06/27/2018Prime EFS
LLC-Merger/AcquisitionClosed0.505Transportation and Logistics
Systems, Inc. (OTCPK:TLSS)-IQTR572335001Trucking (Primary)United
States and Canada (Primary)0.505100.0PetroTerra Corp. (OTCPK:PTRA)
acquired Prime EFS LLC from Rosemary Mazzola, James S. Lynch,
Christopher A. Manieri and others for $1 million on June 18, 2018.
Under the terms of the transaction, PetroTerra will acquire all of
the issued and outstanding membership interests of Prime for $1
million in cash, 1.5 million of PetroTerra’s common stock and
shares of a newly designated series of preferred stock of
PetroTerra. Additionally, PetroTerra will provide Prime with a
certain amount of working capital both at closing and over the next
six months. The transaction was funded with a senior secured
convertible note issued to an institutional investor. As a
result of the transaction, Prime EFS LLC will become a wholly owned
subsidiary of PetroTerra Corp. Prime EFS LLC Concurrent with the
transaction, PetroTerra intends to change its name to
Transportation and Logistics Systems Inc. Within 12 months from the
closing date, PetroTerra will apply to have its common stock listed
and trading on NYSE and NASDAQ. Prime EFS reported revenues of $7
million for the year ended 2017. In September 2018, the agreement
was amended to correct the purchase price error in the original
agreement. PetroTerra agreed to pay $0.49 in cash as per the
correction. M. Ali Panjwani of Pryor Cashman acted as legal advisor
to PetroTerra Corp. and Marc J. Ross of Sichenzia Ross Ference
Kesner LLP acted as legal advisor to Prime EFS in the
transaction.0.5050.5050.072----Prime EFS LLC provides delivery
services to online retailers. The company was founded in 2016 and
is based in Hasbrouck Heights, New Jersey. As of June 18, 2018,
Prime EFS LLC operates as a subsidiary of Transportation and
Logistics Systems, Inc.TruckingHeadquarters440 RT17 North suite 3B
Hasbrouck Heights, New Jersey 07604United StatesMain Phone: 201 623
3404www.primeefs.com7.0-----2.45-(0.657)CombinationsCommon
EquitySichenzia Ross Ference LLP (Legal Advisor)Pryor Cashman LLP
(Legal Advisor)--PetroTerra Corp. (OTCPK:PTRA) completed the
acquisition of acquire Prime EFS LLC from Rosemary Mazzola, James
S. Lynch, Christopher A. Manieri and others on June 18,
2018.AcquisitionFriendly--
06/21/2018All Assets of Big Red L.T.L. Transport, Inc. and
CIN-SAN Leasing, Inc.-Merger/AcquisitionClosed0.732Big Red Express
Trucking LLCBig Red L.T.L. Transport, Inc.; CIN-SAN Leasing,
Inc.IQTR571507201Trucking (Primary)United States and Canada
(Primary)0.732100.0Big Red Express Trucking LLC acquired all assets
of Big Red L.T.L. Transport, Inc. and CIN-SAN Leasing, Inc. for
$0.73 million on June 21, 2018.0.7320.732-----As of June 21, 2018,
All Assets of Big Red L.T.L. Transport, Inc. and CIN-SAN Leasing,
Inc. was acquired by Big Red Express Trucking LLC. Big Red L.T.L.
Transport, Inc. and CIN-SAN Leasing, Inc. provide trucking
services. The companies are based in the United
States.TruckingHeadquartersUnited States----------CashAsset----Big
Red Express Trucking LLC completed the acquisition of all assets of
Big Red L.T.L. Transport, Inc. and CIN-SAN Leasing, Inc. on June
21, 2018.AcquisitionFriendly--
06/07/2018Thunder Ridge Transport,
Inc.-Merger/AcquisitionClosed2.95EVO Transportation & Energy
Services, Inc. (OTCPK:EVOA)-IQTR570153829Trucking (Primary)United
States and Canada (Primary)2.5100.0EVO Transportation & Energy
Services, Inc. acquired Thunder Ridge Transport Inc. from Billy Lee
Peck for $3 million On June 1, 2018. As consideration for the
transaction, EVO Transportation & Energy issued a promissory
note dated June 1, 2018 in the principal amount of $2.5 million to
Peck. EVO Transportation & Energy also agreed to pay $0.45
million on behalf of Thunder Ridge to the Bank of Missouri. Post
completion. Thunder Ridge became a wholly-owned subsidiary of EVO
Transportation & Energy Services. Frank B. Bennett of
Fredrikson & Byron P.A. acted as legal advisor to EVO
Transportation & Energy Services and Randy L. Smith of Law
Offices of Randy L. Smith, L.L.C. acted as legal advisor to Billy
Lee Peck. 2.952.5-----Thunder Ridge Transport, Inc. provide freight
trucking services. The company was founded in 2000 and is based in
Springfield, Missouri. As of June 1, 2018, Thunder Ridge Transport,
Inc. operates as a subsidiary of EVO Transportation & Energy
Services, Inc.TruckingHeadquarters319 North Main AvenueSuite 330
Springfield, Missouri 65806United StatesMain Phone:
417-833-8456Main Fax:
800-997-4401www.trtmail.com------1.94(1.66)(8.35)Cash; DebtCommon
Equity-Fredrikson & Byron P.A. (Legal Advisor)--EVO
Transportation & Energy Services, Inc. (OTCPK:EVOA) completed
the acquisition of Thunder Ridge Transport Inc. from Billy Lee Peck
On June 1, 2018.AcquisitionFriendly--
02/07/2018Marshall Trucking
Inc.-Merger/AcquisitionClosed8.05Mullen Trucking
Corp.-IQTR560580725Trucking (Primary)United States and Canada
(Primary)1.59100.0Mullen Trucking Corp. acquired Marshall Trucking
Inc. for CAD 10.1 million on November 1, 2017. Mullen Group Ltd.
(TSX:MTL), the parent company of Mullen Trucking, used CAD 1.7
million of cash, acquired CAD 0.3 million of cash and allocated CAD
8.1 million towards the repayment of shareholders
loans.7.811.59-----As of November 1, 2017, Marshall Trucking Inc.
was acquired by Mullen Trucking Corp. Marshall Trucking Inc.
provides trucking services in Canada. The company was founded in
1984 and is based in Calgary, Canada.TruckingHeadquarters424
Aviation Road NE Calgary, Alberta T2E 8H6CanadaMain Phone:
403-235-5143Other Phone: 800-461-2191----------CashCommon
Equity----Mullen Trucking Corp. completed the acquisition of
Marshall Trucking Inc. on November 1,
2017.AcquisitionFriendly--
02/02/2018Fore Transportation,
Inc.-Merger/AcquisitionClosed34.9Universal Logistics Holdings, Inc.
(NasdaqGS:ULH)-IQTR551565847Trucking (Primary)United States and
Canada (Primary)34.9100.0Universal Logistics Holdings, Inc.
(NasdaqGS:ULH) acquired Fore Transportation, Inc. for $34.9 million
on February 2, 2018. Universal Logistics Holdings paid the purchase
price in cash, subject to customary post-closing adjustments. The
transaction is funded from the available cash and borrowed
approximately $31.3 million using its margin credit facility,
revolving credit facility and secured real estate financing. Fore
Transportation reported total operating revenues of approximately
$32.3 million for the year ended December 31, 2017. Universal
expects the acquisition to be immediately accretive. Mesirow
Financial, Inc. acted as a financial advisor to Fore
Transportation.34.934.91.08----Fore Transportation, Inc. offers
local, regional, and long-haul intermodal trucking services. The
company provides dry, overweight, and refrigerated transportation
services. It also offers transloading and cross docking solutions,
as well as warehousing and distribution services. Fore
Transportation, Inc. was founded in 1994 and is based in Harvey,
Illinois. As of February 2, 2018, Fore Transportation, Inc.
operates as a subsidiary of Universal Logistics Holdings,
Inc.TruckingHeadquarters250 East 167th Street Harvey, Illinois
60426United StatesMain Phone: 708-362-5657Main Fax:
708-362-5656Other Phone:
800-459-3673www.foretransportation.com32.3-----1,216.6774.0128.15CashCommon
EquityMesirow Financial, Inc. (Financial Advisor)--Universal
Logistics Holdings, Inc. (NasdaqGS:ULH)'s Jeffrey A. Rogers
recently stated, "So as we look forward, we're constantly
reevaluating what is the appropriate way to grow, is it small
chunks at a time or is it big chunks? So we're constantly looking
at that, and that's really tactical. A little bit, maybe strategic.
But I don't see a whole lot of changes, but just kind of analyzing
things. But we're going to constantly look at reducing debt,
because I think that makes perfect sense. As free cash flow comes
on, that's probably going to be priority #1, reduce our debt.
Priority #2 is, what can we do from a shareholder value
perspective? I mean that's obviously on the list of things. And
then 3, I think its going to be time, very soon, to start looking
at acquisitions. And we've always got things on the table, but they
haven't -- we haven't found anything yet that makes sense, that
moves the needle, and we haven't been in a position to really do it
because we've been so focused internally trying to fix some of the
issues, get the right leadership in place. And so I feel more
comfortable now that we're in a better position. So I think, as
things start to improve, more free cash flow, consistent earnings,
all of the things that we're talking about here, just put us in a
very good spot for lots of different options to be honest with
you."Universal Logistics Holdings, Inc. (NasdaqGS:ULH) completed
the acquisition of Fore Transportation, Inc. on February 2,
2018.AcquisitionFriendly--
12/07/2017Keen Transport,
Inc.-Merger/AcquisitionClosed64.0Wallenius Wilhelmsen ASA
(OB:WALWIL)Platinum Equity, LLCIQTR545971197Trucking
(Primary)United States and Canada (Primary)64.0100.0Wallenius
Wilhelmsen Logistics ASA (OB:WWL) signed an agreement to acquire
Keen Transport, Inc. from Platinum Equity, LLC for $64 million on
December 7, 2017. The transaction will be financed through existing
credit facilities. Keen Transport generated revenues of $82 million
and EBITDA of $10 million in the year 2016. Stubbs Alderton &
Markiles LLP acted as a legal advisor to Platinum Equity, LLC.
Raymond James & Associates, Inc. acted as a financial advisor
to Platinum Equity, LLC and Keen Transport,
Inc.64.064.00.786.4---Keen Transport, Inc. provides heavy-haul
logistics and transportation services for construction, mining, and
agriculture equipment markets in the United States. The company
offers storage and assembly, and transportation services, as well
as customized work. Keen Transport, Inc. was founded in 1968 and is
based in Carlisle, Pennsylvania. The company has facilities in
Athens, Savannah, and La Grange, Georgia; Clayton, Sanford, and
Winston Salem, North Carolina; League City, Texas; Little Rock,
Arkansas; Marysville, Washington; Morton, Aurora, and Decatur,
Illinois; Santa Paula, California; and Shippensburg, Pennsylvania.
As of December 8, 2017, Keen Transport, Inc. operates as a
subsidiary of Wallenius Wilhelmsen Logistics
ASA.TruckingHeadquarters1951 Harrisburg Pike Carlisle, Pennsylvania
17015United StatesMain Phone: 717-243-6622Main Fax:
717-243-8195Other Phone:
888-872-5336www.keentransport.com82.010.0----2,058.0415.031.0CashCommon
Equity--Raymond James & Associates, Inc. (Financial Advisor);
Stubbs Alderton & Markiles LLP (Legal Advisor)-Wallenius
Wilhelmsen Logistics ASA (OB:WWL) completed the acquisition of Keen
Transport, Inc. from Platinum Equity, LLC on December 8, 2017.
AcquisitionFriendly--
11/01/2017Indiana Transport,
Inc.-Merger/AcquisitionClosed59.0Patrick Industries, Inc.
(NasdaqGS:PATK)-IQTR542322231Trucking (Primary)United States and
Canada (Primary)59.0100.0Patrick Industries, Inc. (NasdaqGS:PATK)
acquired the business and the assets of Indiana Transport, Inc. for
$59 million on November 1, 2017. The purchase price for Indiana
Transport was funded under Patrick Industries' existing credit
facility. Indiana Transport will continue to operate on a
stand-alone basis under its brand name in its existing facilities.
Patrick Industries expects the acquisition to be immediately
accretive to 2017 net income per share. Justin Marriott, Bryan
Burden and the team of Marriott & Co. acted as exclusive
financial advisors for Indiana Transport, Inc.59.059.0-----Indiana
Transport, Inc. offers trucking services for the transportation of
RV travel trailers, utility trailers, boats, buses, and cars. The
company is based in Elkhart, Indiana. As of November 1, 2017,
Indiana Transport, Inc. operates as a subsidiary of Patrick
Industries, Inc.TruckingHeadquarters2311 South Nappanee StreetSuite
E Elkhart, Indiana 46517United StatesMain Phone: 574-293-3642Main
Fax:
574-522-0308www.indianatransport.com------1,484.02141.170.23CashCommon
EquityMarriott & Co. (Financial Advisor)--ANDY NEMETH,
President of Patrick Industries, Inc. (NasdaqGS:PATK) said,"Our
objective is to continue to outperform the MH market by
capitalizing on our breadth of product and focusing on expansion
and acquisition strategies."
Andy L. Nemeth, President and Director of Patrick Industries,
Inc. (NasdaqGS:PATK), said, "Our objective is to continue to
outperform the MH market by capitalizing on our breadth of product
and focusing on expansion and acquisition strategies." "We will
continue to concentrate on leveraging our existing capabilities and
core competencies in the residential, retail, commercial,
hospitality and institutional markets as the industrial markets
represent a breadth of product opportunities for us, both through
organic market penetration, potential acquisitions and geographic
expansion opportunities in these markets and as well expand our
presence into new territories and markets to further grow market
share," Nemeth said.
Patrick Industries, Inc. (NasdaqGS:PATK) seeks acquisitions.
Patrick Industries is focused on continuing to drive strong growth
on both the top and bottom line, make strategic acquisitions in our
existing businesses and similar marketsPatrick Industries, Inc.
(NasdaqGS:PATK) completed the acquisition of the business and the
assets of Indiana Transport, Inc. on November 1,
2017.AcquisitionFriendly--
09/05/2017RDK Transportation Co.
Inc.-Merger/AcquisitionClosed10.93Mullen Group Ltd.
(TSX:MTL)-IQTR536621728Trucking (Primary)United States and Canada
(Primary)10.93100.0Mullen Group Ltd. (TSX:MTL) acquired RDK
Transportation Co. Inc. for CAD 13.5 million in cash on September
1, 2017. Concurrent to the closing of the transaction, Mullen Group
entered into an agreement to acquire the facility which RDK
operates from in Saskatoon. After the completion of acquisition,
RDK will operate as a stand-alone business unit within Mullen
Group's Trucking/Logistics segment. Rod Friesen, one of RDK's
former owners, will stay with RDK and serve as its business unit
leader. The transaction will be immediately
accretive.10.9310.93-----RDK Transportation Co. Inc. offers truck
transportation services. The company is based in Martensville,
Canada. As of September 1, 2017, RDK Transportation Co. Inc.
operates as a subsidiary of Mullen Group Ltd.TruckingHeadquarters2
Cory Lane Martensville, Saskatchewan S0K 0A2CanadaMain Phone:
866-381-9615Main Fax:
306-651-6967www.rdktransportation.com------827.11138.3139.28CashCommon
Equity---Mullen Group Ltd. (TSX:MTL) seeks acquisition
opportunities. Murray Mullen, said "The challenging market
conditions are now creating acquisition opportunities that we have
not seen for many years. In the quarter we completed a sequence of
investments that fit our strategic as well as our disciplined
financial approach to acquisitions." He further added "Acquisitions
are the only viable way of mitigating this slow growth business
cycle and I fully expect we can use our strong balance sheet as a
competitive advantage, positioning Mullen Group for the
future."
Mullen Group Ltd. (TSX:MTL) is looking for acquisition
opportunities. we are well positioned to accelerate growth with
quality acquisitions. Having a strong balance sheet is an integral
component to our acquisition strategy. The other is timing and from
this perspective my view is that we will be presented with many
opportunities to evaluate in 2017 as business owners struggle to
find success in this ultra-competitive market. Our focus will be to
pursue acquisitions that we believe can be successfully integrated
into our organization, Murray K. Mullen, Chairman and Chief
Executive Officer of Mullen, said.
Chairman, Chief Executive Officer & President of Mullen
Group Ltd. (TSX:MTL), Murray K. Mullen said-"We maintain a strong
and well-structured balance sheet with over $250 million in cash at
quarter-end, providing our organization the flexibility to pursue
quality acquisition opportunities or reduce debt, if no such
opportunities come our way. We are an acquisition-based company,
however, and have always have been, but we are also disciplined in
terms of our acquisition strategy, which simply means we do not
chase growth. We make acquisitions when they make sense and when we
believe that our shareholders will derive value. We are an
organization with a strong set of values focused on quality and
customer service, and we are focused on providing value to
shareholders, either via growth or dividend."Mullen Group Ltd.
(TSX:MTL) completed the acquisition of RDK Transportation Co. Inc.
on September 1, 2017.AcquisitionFriendly--
08/31/2017Milgram & Company
Ltd.-Merger/AcquisitionClosed49.47C.H. Robinson Worldwide, Inc.
(NasdaqGS:CHRW)-IQTR536149580TruckingUnited States and Canada
(Primary)49.47100.0C.H. Robinson Worldwide, Inc. (NasdaqGS:CHRW)
acquired Milgram & Company Ltd. for CAD 62 million in cash on
August 31, 2017. The acquisition was financed through cash and
funds drawn from C.H. Robinson’s existing revolving credit
facility. C.H. Robinson will integrate Milgram into its Global
Forwarding division and single global technology platform,
Navisphere®. For the fiscal year ending May 31, 2017, Milgram had
approximately CAD 155.3 million in gross revenues. The acquisition
is expected to be approximately neutral to earnings in 2017 and
slightly accretive in 2018 for C.H.
Robinson.49.4749.470.399----Milgram & Company Ltd. provides
customs brokerage, international freight forwarding, and truck
transportation services. It offers cargo insurance, consulting,
export, import, TPL, and online services. The company serves
textile and apparel industries. Milgram & Company Ltd. was
founded in 1951 and is based in Montreal, Canada. As of August 31,
2017, Milgram & Company Ltd. operates as a subsidiary of C.H.
Robinson Worldwide, Inc.Air Freight and LogisticsHeadquarters400 -
645 Wellington Montreal, Quebec H3C 0L1CanadaMain Phone:
514-288-2161Main Fax: 514-288-2519Other Phone:
514-288-2100www.milgram.com123.91-----13,895.87848.19484.48CashCommon
Equity---John Wiehoff, Chief Executive Officer, C.H. Robinson
Worldwide, Inc. (NasdaqGS:CHRW) said that, We've hit on this a
little bit already, but we do expect to continue to look for both.
We will look for market share and service expansion opportunities
both in North America and outside of it. Andy talked about some of
the restructuring that we've done to make sure that we can take the
earnings that we're now achieving outside of North America and
redeploy those internationally, to have a more efficient structure.
So with that in place and the success of some of our businesses
outside of North America, the mix going forward will have a greater
bent towards looking at global acquisitions than we have had in the
past. But we will continue to look for both.C.H. Robinson
Worldwide, Inc. (NasdaqGS:CHRW) completed the acquisition of
Milgram & Company Ltd. on August 31,
2017.AcquisitionFriendly--
07/21/2017Special Dispatch of San Antonio, Inc. and Special
Logistics Dedicated, LLC-Merger/AcquisitionClosed137.6J.B. Hunt
Transport Services, Inc. (NasdaqGS:JBHT)-IQTR531619790Trucking
(Primary)United States and Canada (Primary)-100.0J.B. Hunt
Transport Services, Inc. (NasdaqGS:JBHT) entered into an agreement
to acquire Special Dispatch of San Antonio, Inc. and Special
Logistics Dedicated, LLC (Special Logistics business) from Albert
J. LaRose, Jr. and Gregory P. Back for approximately $140 million
on July 20, 2017. The purchase price includes no assumption of
debt. The purchase price includes the amount of debt held by
Special Logistics which J.B. Hunt intends to pay off at closing.
The transaction is subject to purchase price adjustments. J.B. Hunt
anticipates using its existing revolving credit facility to finance
the transaction and to provide liquidity for future operations.
The transaction is subject to customary closing conditions
including regulatory approval, non-competition agreement, written
resignations of all of the officers, directors and managers of
Special Logistics, third party approval including lender, holders
of debt securities and lessors. The transaction is expected to
close on July 31, 2017. J.B. Hunt expects the transaction to be
immaterial to 2017 operating results and accretive in 2018. The
transaction is not expected to have a significant impact on
interest expense. C. Douglas Buford, Jr. of Mitchell, Williams,
Selig, Gates & Woodyard, P.L.L.C. acted as legal advisor for
J.B. Hunt Transport Services. James J. Spring, III of Hunt.
Chamberlain, Hrdlicka, White, Williams & Aughtry acted as legal
advisor for Albert J. LaRose, Jr. and Gregory P. Back. Goldman
Sachs & Co. acted as broker for J.B. Hunt Transport
Services.-------As of July 31, 2017, Special Dispatch of San
Antonio, Inc. and Special Logistics Dedicated, LLC were acquired by
J.B. Hunt Transport Services, Inc. Special Dispatch of San Antonio,
Inc. and Special Logistics Dedicated, LLC represents the combined
operations of Special Dispatch of San Antonio, Inc. and Special
Logistics Dedicated, LLC in their sale to J.B. Hunt Transport
Services, Inc. Special Dispatch of San Antonio, Inc. and Special
Logistics Dedicated, LLC provide transportation and delivery
services. The companies are based in the United
States.TruckingHeadquartersUnited
States-------6,767.791,058.37427.55CashAssetChamberlain, Hrdlicka,
White, Williams & Aughtry (Legal Advisor)Mitchell Williams
Selig Gates (Legal Advisor)--J.B. Hunt Transport Services, Inc.
(NasdaqGS:JBHT) completed the acquisition of Special Dispatch of
San Antonio, Inc. and Special Logistics Dedicated, LLC (Special
Logistics business) from Albert J. LaRose, Jr. and Gregory P. Back
on July 31, 2017. Total consideration paid consisted of the agreed
upon purchase price adjusted for an estimated working capital
adjustment and cash acquired.AcquisitionFriendly--
07/18/2017Commodity Forwarders
Inc.-Merger/AcquisitionClosed94.44Kuehne + Nagel International AG
(SWX:KNIN)-IQTR585458924TruckingUnited States and Canada
(Primary)94.44100.0Kuehne + Nagel International AG (SWX:KNIN)
entered into an agreement to acquire Commodity Forwarders Inc. for
CHF 90 million ($94.4 million) on July 17, 2017. Commodity
Forwarders Inc. generates annual revenues of $200 million. The
transaction is subject to customary closing conditions and to
clearance by the competent merger control authorities. The Federal
Trade Commission granted early termination notices on the
transaction for Commodity Forwarders Inc on August 30,
2017.94.4494.440.472----Commodity Forwarders Inc. provides
transportation, distribution, and consulting services for
perishable products worldwide. It offers freight handling services
for frozen fish and meats, fruits, vegetables and flowers, chilled
fish, organic produce, and dry cargo. The company also handles
temperature sensitive cargo through its perishable network
relationships in the United States, Canada, Mexico, Europe, Latin
America, the South Pacific, Asia, and the Middle East. In addition,
it offers various services, such as AES export filings, domestic
and international air freight, air craft chartering, cold and
freezer storage, computerized inventory control, cross dock,
customs brokerage and bonded facilities, export documentation,
exhibitions, forced air cooling, fumigation, H.A.C.C.P. compliance,
high humidity forced air cooling, refrigerated trucking, pick and
pack, ocean freight, quality inspections, re-packing, safety and
sanitation programs, sorting, U.S.D.A. PPQ compliance, and
warehousing; dry, gel, and wet re-icing; and air, truck, and ocean
consolidations. Commodity Forwarders Inc. was incorporated in 1974
and is based in Los Angeles, California with additional offices in
Los Angeles and San Francisco, California; Seattle, Washington;
Anchorage, Alaska; Miami and Orlando, Florida; Honolulu, Hilo,
Kahului Maui, Lihue, and Kona, Hawaii; Lawrence, New York; and
Chicago, Illinois. As of October 2, 2017, Commodity Forwarders Inc.
operates as a subsidiary of Kuehne + Nagel International AG.Air
Freight and LogisticsHeadquarters11101 South La Cienega Boulevard
Los Angeles, California 90045United StatesMain Phone:
310-348-8855Main Fax:
310-348-8879www.cfi-lax.com200.0-----17,945.831,137.73749.44CashCommon
Equity---Detlef A. Trefzger, the Chairman and Chief Executive
Officer of Kuehne + Nagel International AG (SWX:KNIN) recently
stated, "We -- Far East is one of our growth markets. Not only Far
East and China specifically, but also India and other markets in
Asia. Even Japan being a mature market shows a lot of interesting
growth momentum, and we have a growth strategy for all those
countries. And yes, our exposure, hopefully will increase, but I
wouldn't call it exposure. It is market share, and it is
participating in growth momentum in Asia. The third question,
Daniel, has been related to bolt-on acquisitions. We always stated
that we are looking for competence and footprint in our, what you
call, specialty logistics, our solution areas. And yes, that will
continue with the right targets that we engage with."Kuehne + Nagel
International AG (SWX:KNIN) completed the acquisition of Commodity
Forwarders Inc. on October 2, 2018.AcquisitionFriendly--
07/06/2017Interstate Distributor Co.,
Inc.-Merger/AcquisitionClosed117.0Heartland Express, Inc.
(NasdaqGS:HTLD)Saltchuk Resources, Inc.IQTR529628829Trucking
(Primary)United States and Canada (Primary)94.0100.0Heartland
Express, Inc. (NasdaqGS:HTLD) acquired Interstate Distributor Co.,
Inc. from Saltchuk Resources, Inc. for an enterprise value of
approximately $110 million on July 6, 2017. Heartland Express
acquired 100% of the outstanding stock of Interstate Distributer.
The transaction was funded through $94 million of Heartland's
existing cash, plus assumption of approximately $23 million of
Interstate Distributor's debt and acquisition of $4 million in cash
on Interstate Distributor's balance sheet. Heartland expects to pay
off all of Interstate Distributor's debt after closing. After
funding the transaction, including repayment of assumed debt but
excluding funding of certain insurance reserves with restricted
cash, Heartland will remain debt-free, with substantial liquidity
and financial flexibility from a remaining cash balance of over $50
million and $170 million of availability on its revolving line of
credit. Heartland will integrate Interstate Distributor into
Heartland's existing operations and operate under the Heartland
brand soon after closing.
As on December 31, 2016, Interstate Distributor reported annual
revenue of approximately $325 million and generated as operating
loss. The experienced personnel of Interstate Distributor will join
Heartland after the transaction. The overlapping Heartland and
Interstate Distributor's locations largely will be consolidated
over the next 18 months. The purchase agreement contains customary
terms and conditions, including an invested capital true up as of
June 30, 2017. The parties will provide certain post-closing
services to each other under transition services and other
agreements. Based on expected synergies, the transaction is
expected to be accretive to Heartland's earnings in the first full
quarter of operations. Scudder Law Firm, PC LLO acted as legal
advisor to Heartland. Zachary Scott & Co. acted as financial
advisor and Garvey Schubert & Barer acted as legal advisor to
Interstate Distributor.113.094.00.348----Interstate Distributor
Co., Inc. provides trucking services for Fortune 500 companies and
other customers in the United States, Western Canada, and along the
Mexican border. Its services include regional and trans-continental
coverage, dedicated fleets, specialized and refrigerated equipment,
and intermodal services. The company was founded in 1933 and is
headquartered in Tacoma, Washington. As of July 6, 2017, Interstate
Distributor Co., Inc. operates as a subsidiary of Heartland
Express, Inc.TruckingHeadquarters11707 21st Avenue Court South
Tacoma, Washington 98444United StatesMain Phone: 253-537-9455Main
Fax: 253-538-4430Other Phone:
800-426-8560www.intd.com325.0-----548.88165.354.29CashCommon
EquityZachary Scott & Co. (Financial Advisor); Garvey Schubert
Barer, P.C. (Legal Advisor)Scudder Law Firm, PC LLO (Legal
Advisor)-Heartland Express, Inc. (NasdaqGS:HTLD) is looking for
acquisitions. Michael J. Gerdin, Chief Executive Officer and
President said, "And our industry is made up of thousands of small
truckers right now that are living on the edge of paper logs and
making the transition to ELDs, and given the mandates that are
coming, going forward, I think there are going to be plenty of
opportunities for acquisitions going forward and for profitable
growth in the next few years."Heartland Express, Inc.
(NasdaqGS:HTLD) completed the acquisition of Interstate Distributor
Co., Inc. from Saltchuk Resources, Inc. on July 6,
2017.AcquisitionFriendly--
06/16/2017Owen Logistics,
LLC-Merger/AcquisitionClosed0.075AlumiFuel Power Corporation
(OTCPK:AFPW)-IQTR434650371Trucking (Primary)United States and
Canada (Primary)0.038100.0AlumiFuel Power Corporation (OTCPK:AFPW)
acquired Owen Logistics, LLC for $0.08 million on June 16, 2017.
Under the terms, AlumiFuel Power Corporation will issue 125 million
restricted common shares as consideration for the acquisition and
will issue an additional 125 million restricted common shares in
180 days if certain performance milestones are achieved. Management
of Owen Logistics has agreed to a two year employment
agreement.0.0750.038-----Owen Logistics, LLC, doing business as
Meridian Moving Systems, offers freight transportation services by
road. The company is based in Anthem, Arizona. As of June 16, 2017,
Owen Logistics, LLC operates as a subsidiary of AlumiFuel Power
Corporation.TruckingHeadquarters41615 North Signal Hill Court
Anthem, Arizona 85086United StatesMain Phone:
480-766-1699---------(0.79)Cash; Common EquityCommon
Equity----AlumiFuel Power Corporation (OTCPK:AFPW) completed the
acquisition of Owen Logistics, LLC on June 16,
2017.AcquisitionFriendly--
06/15/2017Big Red L.T.L. Transport,
Inc.-Merger/AcquisitionClosed1.23Bulova Technologies Group, Inc.
(OTCPK:BTGI)-IQTR434431780Trucking (Primary)United States and
Canada (Primary)0.504100.0Bulova Technologies Group, Inc.
(OTCPK:BTGI) signed letter of intent to acquire Big Red Transport,
Inc. from Michael and Constance Pryslak for $1.2 million on June
15, 2017. Bulova Technologies Group entered into an agreement to
acquire Big Red Transport, Inc. from Michael and Constance Pryslak
on July 20, 2017. Under the terms of the transaction, purchase
price will be paid in the form of a seven year unsecured promissory
note payable without interest, plus the assumption of certain
liabilities. The transaction was financed by Peoples Bank. The
transaction is expected to complete by July 15, 2017.1.230.504-----
As of July 21, 2017, operates as a subsidiary of Bulova
Technologies Group, Inc.TruckingHeadquartersPO BOX 88 Great
Meadows, New Jersey 07838United StatesMain Phone: 908-475-3220Main
Fax: 908-475-3770Other Phone:
800-366-7338www.bigredtransport.com------25.97(1.73)(7.83)Cash;
DebtCommon Equity----Bulova Technologies Group, Inc. (OTCPK:BTGI)
completed the acquisition of Big Red Transport, Inc. from Michael
and Constance Pryslak on July 21, 2017.AcquisitionFriendly--
05/25/2017Hub Group Dedicated-Merger/AcquisitionClosed285.0Hub
Group Trucking, Inc.-IQTR432178105Trucking (Primary)United States
and Canada (Primary)-100.0Hub Group Trucking, Inc. entered into an
agreement to acquire substantially all assets of Estenson
Logistics, LLC from Timothy J. Estenson, Traci M. Estenson and Paul
A. Truman for approximately $290 million on May 25, 2017. Under the
terms of the agreement, Hub Group Trucking will pay $288.5 million
in cash, subject to the working capital and capital expenses
adjustments and up to $6 million in cash subject to Estenson’s
performance results in the two years following the closing. Under
the terms of the transaction, Hub Group will also assume the
secured equipment notes of Estenson. The transaction will be
financed with a combination of cash, an assumption of Estenson's
secured equipment notes and $350 million unsecured credit facility
that will become effective as of the closing date. Following the
closing of the transaction, Estenson Logistics, LLC will be named
Hub Group Dedicated Services and will operate as part of Hub Group
Trucking.
The consideration represents an EBITDA multiple of 6.75. As of
December 31, 2016, Estenson generated revenue of approximately $250
million. The transaction is subject to the antitrust approval and
other customary closing conditions. As of June 7, 2017, Hub Group
has received the antitrust approval for the transaction. Hub Group
expects the Transaction will close on or about July 1, 2017. The
transaction is accretive to the earnings of Hub Group Trucking in
2017. Patrick O. Doyle of Winston & Strawn LLP acted as the
legal advisor to Hub Group Trucking and Michael Kearney of Lewis
Brisbois Bisgaard & Smith LLC acted as the legal advisor to
Estenson in this transaction. Bank of America, N.A. acted as the
escrow agent in the transaction.285.0-1.14----Estenson Logistics,
LLC offers road transportation of freight and logistics services.
The company was founded in 1999 and is headquartered in Mesa,
Arizona. As of July 1, 2017, Estenson Logistics, LLC operates as a
subsidiary of Hub Group Trucking, Inc.TruckingHeadquarters560 West
Brown RoadSuite 3001 Mesa, Arizona 85201United StatesMain Phone:
480-940-8800Main Fax: 855-315-2960Other Phone:
888-455-8092www.estensonlogistics.com250.0--------CashCommon
EquityLewis Brisbois Bisgaard & Smith LLP (Legal
Advisor)Winston & Strawn LLP (Legal Advisor)--Hub Group
Trucking, Inc. completed the acquisition of substantially all
assets of Estenson Logistics, LLC from Timothy J. Estenson, Traci
M. Estenson and Paul A. Truman on July 1, 2017. The deal value of
$285 million is subject to customary post-closing adjustments. The
purchase agreement was amended on July 1, 2017, excluding certain
assets and liabilities and reducing base purchase price by $21.5
million. On July 1, 2017, Hub Group, Inc. and Hub City Terminals,
Inc. entered into $350 million credit agreement which matures on
July 1, 2022 with Bank of Montreal as administrative agent. Hub
Group, Inc. intends to use the credit facility to finance the
acquisition of Estenson Logistics, LLC.AcquisitionFriendly--
04/10/2017Swift Transportation
Company-Merger/AcquisitionClosed2,970.64Knight-Swift Transportation
Holdings Inc. (NYSE:KNX)The Teamsters General
FundIQTR427257149Trucking (Primary)United States and Canada
(Primary)2,952.32100.0Knight Transportation, Inc. (NYSE:KNX)
entered into a definitive agreement to acquire Swift Transportation
Company (NYSE:SWFT) for $3 billion on April 9, 2017. Under the
terms of the definitive agreement, each Swift share will convert
into 0.72 shares of Knight-Swift by means of a reverse stock split.
Each share of Knight will be exchanged for one Knight-Swift share.
Knight is expected to be the accounting acquirer and the combined
company will be named Knight-Swift Transportation Holdings Inc.
(“Knight-Swift”) and will trade under the ticker “KNX.” Pursuant to
closing of the transaction, Swift stockholders will own
approximately 54% and Knight stockholders will own approximately
46% of the combined company. Pursuant to merger, Knight-Swift will
have a single class of stock outstanding with one vote per share.
In the transaction, Swift’s existing Class B common stock with two
votes per share held by members of the Jerry Moyes family will be
converted on a one-for-one basis into Class A common stock. Those
shares, like all other Class A shares of Swift, will convert into
0.72 shares of Knight-Swift and there will be no shares of Class B
common stock outstanding following the close of the transaction.
After giving effect to the transaction, Jerry Moyes family will
beneficially own approximately 24% of the Knight-Swift stock and
has agreed that any shares they are entitled to vote in excess of
12.5% of the combined company’s shares will be voted as directed by
a committee comprising Jerry Moyes, Kevin Knight and Gary Knight,
except in the case of a vote of any sale of Knight-Swift. In
addition, the Jerry Moyes family has agreed to certain standstill
restrictions and provisions designed so that any share sales by the
Jerry Moyes family are implemented in an orderly manner. Knight
will be required to pay a termination fee of $75.3 million while
Swift will be required to pay a termination fee of $89.1 million in
the event they choose to terminate the transaction. Jerry Moyes has
agreed to pay $25 million to Knight in the event that the merger
agreement is terminated under circumstances that require Swift to
pay the $89.1 million termination fee to Knight.
The Board of Directors of Knight-Swift will comprise all Knight
Directors and four current Swift Directors. The Jerry Moyes family
will initially be entitled to designate two Directors reasonably
acceptable to the Board, one of whom must be independent, with the
initial designees being Glenn Brown and Jerry Moyes. The remaining
two Directors were chosen by the Swift board and will be Richard
Dozer and David Vander Ploeg. Kevin Knight will serve as Executive
Chairman of the Board and Gary Knight will serve as Vice Chairman.
The executive team of Knight-Swift will be led by Kevin Knight as
Executive Chairman, Dave Jackson as Chief Executive Officer and
Adam Miller as Chief Financial Officer. Following the close of the
transaction, Kevin Knight will serve as President of the Swift
operating entities. Jerry Moyes will serve as a non-employee senior
advisor to Kevin and Gary Knight. Richard Stocking, Chief Executive
Officer of Swift, and Ginnie Henkels, Chief Financial Officer of
Swift, have chosen to pursue other opportunities following the
closing of the transaction. In the interim, Swift’s Chief Executive
Officers, Richard Stocking and Ginnie Henkels will continue to lead
Swift to ensure a smooth transition. The combined company will
remain headquartered in Phoenix, Arizona.
The transaction is subject to customary conditions, including
regulatory approvals, the approval of the stockholders of Knight
and Swift, listing of shares on the stock exchange, Knight Charter
amendment proposals, receipt of any required approval under the
Federal Economic Competition Law of Mexico, effectiveness of the
registration statement on Form S-4, listing on the NYSE of the
combined company shares to be issued, receipt by Swift of an
opinion from Kirkland, and Knight of an opinion from Fried Frank as
well as antitrust approvals. The Jerry Moyes family, which holds
approximately 56% of the Swift voting power, and Kevin Knight and
Gary Knight, who hold approximately 10% of the Knight voting power,
have agreed to vote their shares in favor of the transaction. The
transaction has been unanimously approved by the Boards of
Directors of both Swift Transportation and Knight Transportation.
As of May 1, 2017, Federal Trade Commission granted an early
termination notice of antitrust approval waiting period. Comisión
Federal de Competencia Económica approved the transaction without
conditions on June 26, 2017. As on September 7, 2017, the
transaction was approved by the shareholders of Swift
Transportation Company. The transaction is expected to occur in the
third quarter of 2017. As on September 7, 2017, the deal is
expected to close on September 8, 2017. The transaction is expected
to be accretive to adjusted earnings per share.
Evercore Group L.L.C. acted as the financial advisor and will
receive a fees of $10.5 million and, Philip Richter, Warren de
Wied, Robert McLaughlin, Adam Kaminsky, Michael Alter, Bernard
Nigro, Tobias Caspary, Israel David, Scott Luftglass, Joshua Roth,
Howard Fine, Amber Meek, Jennifer Wollenberg, Donna Mussio, Amir
Ghavi, Dallas Cruz, P.Ryan Messier, Christina Robinson, Jake
Saifman, Maxwell Yim, Jaclyn Waters, W.Reid Thompson, Matthew
Joseph, Max Kuttner, Andrew Cashmore, Samuel Dykstra, Alana
Berrocal, J.Tyler Finn and Jason Meyers from Fried, Frank, Harris,
Shriver & Jacobson LLP acted as the legal advisors for Knight
Transportation, Inc. Morgan Stanley & Co. LLC acted as the
financial advisor and will receive a fees of upto $10 million and
Richard Aftanas, Daniel Wolf, Michael Brueck and Claire James of
Kirkland & Ellis LLP acted as the legal advisors for Swift
Transportation Company. Mark Scudder and Earl Scudder of Scudder
Law Firm, P.C., L.L.O. acted as the legal advisor for Jerry Moyes
family. Ryley, Carlock & Applewhite, P.C. acted as legal
advisor to Knight Transportation. Okapi Partners LLC acted as
information agent for Knight Transportation, Inc. and will receive
base a fee of approximately $11,500. Innisfree M&A
Incorporated acted as information agent for Swift
Transportation Company and receive will a fee of approximately
$17,500. Citigroup Inc. (NYSE:C) acted as financial advisor for
Swift Transportation Company. Cravath, Swaine & Moore LLP acted
as legal advisor to Morgan Stanley & Co , financial advisor to
Swift Transportation company. Gibson, Dunn & Crutcher LLP acted
as legal advisor to Evercore Group L.L.C.-2,952.32---24.094.33Swift
Transportation Company operates as a multi-faceted transportation
services company in North America. The company operates through
four segments: Truckload, Dedicated, Swift Refrigerated, and
Intermodal. The Truckload segment provides services through one-way
movements over irregular routes utilizing company’s and
owner-operator tractors with dry van, flatbed, and specialized
trailing equipment in the United States, Mexico, and Canada. The
Dedicated segment offers tailored solutions under long-term
contracts utilizing refrigerated, dry van, flatbed, and other
specialized trailing equipment. The Swift Refrigerated segment
primarily offers shipments for customers who require
temperature-controlled trailers. This segment’s shipments include
one-way movements over irregular routes, as well as dedicated truck
operations. The Intermodal segment moves freight over the rail in
containers and other trailing equipment; and provides drayage
services to transport loads between the railheads and customer
locations. The company also offers logistics and freight brokerage
services, as well as support services to its customers and
owner-operators, including repair and maintenance shop services,
equipment leasing, and insurance. As of December 31, 2016, it
operated a fleet of 13,937 company tractors and 4,429
owner-operator tractors; 64,066 trailers; and 9,131 intermodal
containers from 40 terminals near key freight centers and traffic
lanes. Swift Transportation Company serves various customers
principally in the retail, food and beverage, consumer products,
paper products, transportation and logistics, housing and building,
automotive, and manufacturing industries. The company was formerly
known as Swift Holdings Corp. Swift Transportation Company was
founded in 1966 and is headquartered in Phoenix, Arizona. Swift
Transportation Company operates as a subsidiary of Knight-Swift
Transportation Holdings Inc.TruckingHeadquarters2200 South 75th
Avenue Phoenix, Arizona 85043United StatesMain Phone:
602-269-9700Other Phone:
800-800-2200www.swifttrans.com4,027.53503.61122.5710.238.185.541,117.13247.1385.72Common
EquityCommon Equity; Rights / Warrants / OptionsKirkland &
Ellis LLP (Legal Advisor); Citigroup Inc. (NYSE:C) (Financial
Advisor); Innisfree M&A Inc. (Information Agent); Morgan
Stanley & Co. LLC (Financial Advisor)Fried, Frank, Harris,
Shriver & Jacobson LLP (Legal Advisor); Ryley Carlock &
Applewhite (Legal Advisor); Okapi Partners LLC (Information Agent);
Evercore Group L.L.C. (Financial Advisor)-Knight Transportation
Inc. (NYSE:KNX) is looking for acquisitions. The company stated,
“We also continue to explore growth through acquisition and believe
the current environment should yield opportunities.”
Knight Transportation, Inc. (NYSE:KNX) is looking for
acquisitions. The company stated that it remains focused on
improving lane density, increasing productivity of tractors,
improving yield, managing size of fleet based on market conditions,
investing in long-term growth of logistics capabilities and
continuing to assess acquisition opportunities as a means to
continue to grow business.Knight Transportation, Inc. (NYSE:KNX)
completed the acquisition of Swift Transportation Company
(NYSE:SWFT) on September 8, 2017. AcquisitionFriendly-89.1
03/28/2017Florida East Coast Holdings
Corp.-Merger/AcquisitionClosed2,100.0GMéxico Transportes, S.A. de
C.V. (BMV:GMXT *)Florida East Coast Industries,
LLCIQTR424863830TruckingUnited States and Canada
(Primary)2,003.0100.0Grupo México Transportes S.A. de C.V. entered
into an agreement to acquire Florida East Coast Holdings Corp.
from Florida East Coast Industries, LLC for $2.1 billion on March
28, 2017. The consideration will be paid in cash. The acquisition
was completed with a $2 billion payment from Grupo México
Transportes, funded with a $1.55 billion unsecured bridge loan from
BBVA and Credit Suisse, and a $250 million one from Santander. The
remainder was funded with GMXT’s own resources. The transaction
also included $97 million in debt at the Florida East Coast
Holdings level being assumed. As on December 31, 2016, Florida East
Coast Railway has reported sales of $404 million, EBITDA of $154
million. The acquisition is expected to close subject to
satisfaction of closing conditions including the receipt of
applicable government approvals. On May 22, 2017, the transaction
has been approved by the Surface Transportation Board.
BBVA Bancomer, S.A. and Credit Suisse acted as financial
advisors. Howard Kleinman, Bernardo Piereck, Joshua Milgrim,
Elizabeth Tabas, Francois Quintard-Morenas, Susan Nieto, Daniel
Mozes, Benjamin Snyder, Stephanie Haas, Daniel Rainer, Steven Lorch
and Juan Pablo Betancourt of Dechert and Christian Lippert, Maurice
Berkman, Carlos Chávez, Guillermo Pérez Santiago and Ángeles
Padilla of Galicia Abogados acted as legal advisors to Grupo México
Transportes. Barclays and Morgan Stanley & Co. LLC acted as
financial advisors and Damien R. Zoubek, Keith Hallam, G.J. Ligelis
Jr., David J. Kohtz, Ammanuel G. Gebeyehu, Hector A. Sants, Andrew
W. Needham, Christopher K. Fargo, Tara L. Rhoades, Cecily Xi, Eric
W. Hilfers, Michelle M. Garrett, George E. Zobitz, Matthew M.
Kelly, Matthew Morreale, Annmarie M. Terraciano, Jesse M. Weiss,
Joyce Law, Brian M. Budnick, Christopher C. Gonnella of Cravath,
Swaine & Moore and James Mendenhall, Terence Hynes, Mark
Schneider and Marc Raven of Sidley Austin acted as legal advisors
for Florida East Coast Holdings. Mauricio Castilla and Diego
Noriega of Jones Day represented Banco Santander, BBVA Bancomer,
S.A., Institución de Banca Múltiple, Grupo Financiero BBVA
Bancomer, as administrative agent; BBVA Securities Inc. and Credit
Suisse Securities (USA) LLC, as joint lead
arrangers.2,100.02,003.05.213.64---Florida East Coast Holdings
Corp., through its subsidiaries, provides freight transportation
services in the United States. The company owns and operates a
351-mile freight railroad along the east coast of Florida from
Jacksonville to Miami, as well as approximately 270 miles of
branch, switching, and other secondary track; and 115 miles of yard
track in Florida. It also owns/leases and operates various rail car
marshalling yards; trailers/containers, and automobile loading and
unloading facilities; signaling system facilities; and various
operating offices, shops, and service house buildings. The company
is involved in the transportation of freight, including crushed
rock, automobiles, food products, chemicals, and other industrial
products in conventional freight cars; and intermodal shipments of
containers and trailers on flatcars. In addition, it provides car
hire and demurrage, real estate lease, ancillary dray, switching,
and other transportation services. The company owned or leased
diesel electric locomotives, freight cars, trailers, containers,
and chassis for highway service; and various pieces of rail-mounted
work equipment and automobiles used in maintenance and
transportation operations. The company was incorporated in 2011 and
is based in Jacksonville, Florida. As of June 30, 2017, Florida
East Coast Holdings Corp. operates as a subsidiary of GMéxico
Transportes, S.A. de C.V.RailroadsHeadquarters7411 Fullerton
StreetSuite 300 Jacksonville, Florida 32256United StatesMain Phone:
800-342-1131-404.0154.0----1,597.39619.26324.16CashCommon
EquityCravath, Swaine & Moore LLP (Legal Advisor); Sidley
Austin LLP (Legal Advisor); Morgan Stanley & Co. LLC (Financial
Advisor); Barclays Capital Inc. (Financial Advisor)Credit Suisse
Group AG (SWX:CSGN) (Financial Advisor); BBVA Bancomer, S.A.
(Financial Advisor); Dechert LLP (Legal Advisor); Galicia Abogados,
S.C (Legal Advisor)-Fortress Investment Group LLC (NUSE:FIG) is
exploring a sale of Florida East Coast Railway Corp. held by
Florida East Coast Industries, LLC, according to people familiar
with the matter. Fortress is working with Barclays Plc and Morgan
Stanley to weigh options for Florida East Coast Railway, people
said.GMéxico Transportes, S.A. de C.V. completed the acquisition of
Florida East Coast Holdings Corp. from Florida East Coast
Industries, LLC on June 30, 2017. Grupo México Transportes obtained
the authorizations from all US regulatory agencies, including the
Committee of Foreign Investment in the United States and the
Federal Communications Commission.AcquisitionFriendly--
03/02/2017David Oppenheimer Transport,
Inc.-Merger/AcquisitionCancelled1.41Grandview Brokerage
LimitedT&G Global Limited (NZSE:TGG)IQTR426781695Trucking
(Primary)United States and Canada (Primary)1.419.0Grandview
Brokerage Limited agreed to acquire 9% stake in David Oppenheimer
Transport, Inc. from T&G Global Limited (NZSE:TGG) for NZD 2
million on March 2, 2017. In related transactions, T&G Global
Limited entered into an agreement to acquire 24.4% stake in David
Oppenheimer & Company I, L.L.C and The Oppenheimer Group
entered into an agreement to acquire 50% stake in Delica North
America Limited from T&G Global Limited on March 2, 2017. The
transaction is expected to complete at the end of March
2017.15.7215.72-----David Oppenheimer Transport, Inc. provides
transportation services. The company was founded in 1992 and is
based in Wilmington, Delaware. David Oppenheimer Transport, Inc.
operates as a subsidiary of The Oppenheimer
Group.TruckingHeadquarters1050 Christiana Avenue Wilmington,
Delaware 19801United StatesMain Phone:
302-429-0966----------CashCommon Equity----Grandview Brokerage
Limited cancelled the acquisition of David Oppenheimer Transport,
Inc. from T&G Global Limited (NZSE:TGG) on March 2,
2018.AcquisitionFriendly--
02/18/2017Moringa Cooperative,
Inc.-Merger/AcquisitionCancelled0.3Liht Cannabis Corp.
(DB:2M0)-IQTR421022743Trucking (Primary)United States and Canada
(Primary)0.380.0Marapharm Ventures Inc. (DB:2M0) agreed to acquire
80% stake in Moringa Cooperative, Inc. for $0.3 million on February
18, 2017. Under the terms of the agreement, Marapharm Ventures Inc.
(DB:2M0) will purchase 80% of the shares of Moringa Cooperative,
Inc. "Moringa" and 20% ownership remains with the founding group,
who will continue to operate the business. 0.3750.375-----Moringa
Cooperative, Inc., doing business as MedicalDriveBy, operates a
fleet of vehicles to provide cannabis product delivery services.
The company was incorporated in 2016 and is headquartered in Palm
Desert, California. As of February 18, 2017, Moringa Cooperative,
Inc. operates as a subsidiary of Marapharm Ventures
Inc.TruckingHeadquarters73550 Alessandro DriveSuite 201 Palm
Desert, California 92260United States--------(3.26)(4.01)CashCommon
Equity---Marapharm Ventures Inc. (DB:2M0) is seeking acquisitions.
Linda Sampson, Chief Executive Officer of Marapharm, said, "All of
our production and cultivation is pre-sold for medical purposes so
the 'yes' vote does not affect our present structure but it makes
us aggressive for expansion in Nevada in cultivation and
distribution for recreational product and we are on the hunt for
acquisitions within the space."Marapharm Ventures Inc. (DB:2M0)
cancelled the acquisition of 80% stake in Moringa Cooperative, Inc.
on April 17, 2017.AcquisitionFriendly--
02/08/2017Kel-West Carriers
Ltd.-Merger/AcquisitionClosed2.81Payne Transportation
Ltd.-IQTR560561605Trucking (Primary)United States and Canada
(Primary)2.81100.0Payne Transportation Ltd. acquired Kel-West
Carriers Ltd. for CAD 3.7 million on January 31, 2017. The purchase
consideration was paid in cash. Following the transaction, Kel-West
Carriers was integrated into the operations of Payne
Transportation.2.812.81-----As of January 31, 2017, Kel-West
Carriers Ltd. was acquired by Payne Transportation Ltd.. Kel-West
Carriers Ltd. offers freight transportation services. The company
is based in Kelowna, Canada.TruckingHeadquarters3396 Sexsmith Road
Kelowna, British Columbia V1X 7S5CanadaMain Phone: 250-765-8080Main
Fax: 250-765-9191Other Phone: 800-665-8788----------CashCommon
Equity----Payne Transportation Ltd. completed the acquisition of
Kel-West Carriers Ltd. on January 31,
2017.AcquisitionFriendly--
01/30/2017Cavalier Transportation Services
Inc.-Merger/AcquisitionClosed28.43TFI International Inc.
(TSX:TFII)-IQTR418520653Trucking (Primary)United States and Canada
(Primary)28.43100.0TFI International Inc. (TSX:TFII) acquired
Cavalier Transportation Services Inc. for CAD 37.2 million on
January 30, 2017. Cavalier will operate as a standalone business
unit within TFI. Rick Leckner of MaisonBrison Communications
MaisonBrison Communications acted as public relations advisor for
TFI International.28.4328.43-----Cavalier Transportation Services
Inc. offers freight forwarding services. The company was founded in
1979 and is based in Bolton, Canada. As of January 28, 2017,
Cavalier Transportation Services Inc. operates as a subsidiary of
TFI International Inc.TruckingHeadquarters14091 Humber Station Road
Bolton, Ontario L7E 5T1CanadaMain Phone: 905-857-6981Main Fax:
905-857-1932Other Phone:
800-263-2394www.cavalier.ca------2,996.69322.58116.93CashCommon
Equity---TransForce Inc. (TSX:TFI) intends to use the net proceeds
from the sale of the waste management segment for general corporate
purposes, to support its program of strategic acquisitions, for its
normal course issuer bid and to reduce indebtedness.
TransForce Inc. (TSX:TFI) is seeking selective acquisitions in
order to grow organically and to enhance shareholders’ value. Alain
Bedard, Chairman, President and Chief Executive Officer of
TransForce, said, “The appointment of David Saperstein will allow
TransForce to provide a continuous focus on M&A and to continue
its successful strategy of growing through selective acquisitions.
He brings specific expertise in this domain and we look forward to
benefiting from David's acumen, as we aim to further enhance
shareholder value."
TransForce Inc. (TSX:TFI) is looking for acquisition. The
company said that it's going to be between 1,000 and 3,000, 4,000,
5,000 trucks additional, and there's not that many carriers that
have that kind of fleet.
TransForce Inc. (TSX:TFI) is looking for acquisition
opportunities. "We expect market conditions to remain fragile due
to weak manufacturing activity across North America and softness in
Canada where the economy remains broadly affected by low resource
prices. Under such constraints, TransForce's decentralized and
diversified business model is a key advantage, as we can rapidly
adapt to evolving market conditions and capture high-return
opportunities that may arise. Our focus remains on growing
asset-light activities, such as e-commerce as well as intermodal
and brokerage, which produce superior returns and generate a solid
cash flow. We will continue to use our free cash flow to repurchase
shares and reimburse debt, while remaining on the lookout to deploy
capital in executing our selective acquisition strategy. TransForce
remains firmly committed to enhancing shareholder value and our
actions will continue to reflect this commitment, concluded Alain
Bedard, Chairman, President and Chief Executive Officer of
TransForce.TFI International Inc. (TSX:TFII) completed the
acquisition of Cavalier Transportation Services Inc. on January 30,
2017.AcquisitionFriendly--
01/09/2017Dependable Auto Shippers, Inc., Peterbilt
Truck-Merger/AcquisitionClosed0.145Bailey Truck &
TrailerDependable Auto Shippers, Inc.IQTR416071752Trucking
(Primary)United States and Canada (Primary)0.145100.0Bailey Truck
and Trailer agreed to acquire Dependable Auto Shippers, Inc.,
Peterbilt Truck and Trailer from Dependable Auto Shippers, Inc. in
a bankruptcy transaction for $0.14 million on December 22, 2016.
The transaction is subject to Bankruptcy court approval and is
subject to financing secured by Bailey Truck and Trailer. On
January 9, 2017 bankruptcy court approval has been
received.0.1450.145-----As of December 22, 2017, Dependable Auto
Shippers, Inc., Peterbilt Truck was acquired by Bailey Truck &
Trailer. Dependable Auto Shippers, Inc., Peterbilt Truck comprises
a commercial truck with car carrying trailer. The asset is located
in the United States.TruckingH