Forwarder Phoenix International could be the latest company to get swept into a recent whirl of merger and acquisition activity, according to a report.
The Chicago-based company is considering putting itself on the market for up to $500 million to global logistics companies interested in the non-asset based firm’s international presence, according to Reuters. Phoenix declined to comment on a potential sale, but Reuters cited sources that say the $1 billion company is being advised by Republic Partners, an investment banking and strategic advisory services firm.
European logistics companies Panalpina and Kuehne & Nagel, U.S.-based UPS and C.H. Robinson and Australia’s Toll Holdings are potential suitors. A sale of Phoenix would be the latest deal in which a larger logistic provider adds capacity without taking on more assets. Arkansas Best, parent of less-than-truckload operator ABF Freight System, last week announced its plan to acquire non-asset carrier Panther Expedited Services for $180 million.
Although recent trucking industry acquisitions have included assets, the deals provide extra capacity without the hassle of hiring new drivers. Earlier this month, Echo Global Logistics bought the assets of Plum Logistics, a refrigerated truckload freight brokerage in Wakefield, Mass. Roadrunner Transportation Systems also expanded its reefer capability by acquiring CTW Transport, a refrigerated food hauler in Peabody, Mass. Celadon Trucking acquired a portion of the equipment of Hiner Transport, a truckload carrier based in Huntington, Ind.