William B. Cassidy | Jul 29, 2011 10:58AM EDT
Truckload carrier CRST International expanded its capacity, revenue base and diversified its business by acquiring Specialized Transportation for an undisclosed sum.
Fort Wayne, Ind.-based STI offers shippers “high-touch, high-value” services such as home delivery, trade show logistics, warehousing and transportation management.
The acquisition will boost annual revenue at CRST above $1.3 billion annually, the Cedar Rapids, Iowa-based truckload operator said Thursday.
The addition of STI “will make CRST one of the largest and most diversified transportation companies in the U.S.,” said CRST President and CEO Dave Rusch.
The acquisition is the latest in a spate of trucking and logistics deals this year as larger companies look add capacity and expand by acquiring existing businesses.
STI becomes the CRST’s fifth operating company, joining CRST Malone, CRST Expedited, CRST Logistics and CRST Dedicated Services.
CRST was the 13th largest truckload carrier in the U.S., ranked by revenue, in 2010, with $677 million in revenue, according to data provided by SJ Consulting Group.
The truckload carrier, which got its start in 1955 hauling iron and steel from Chicago to Iowa, has been diversifying its business for more than a decade.
CRST’s portfolio now includes expedited transportation, dedicated fleets, flatbed and specialized hauling, truck brokerage and transportation management.
The STI acquisition also expands CRST’s geographic footprint by 150 agents in the U.S. and Canada and 45 distribution centers.
CRST is also purchasing transportation capacity. STI adds 500 owner-operators to CRST, bringing the company’s total contractor pool to about 3,000 drivers.
In addition to owner-operators, CRST employees than 4,400 drivers and office personnel. STI employs about 250 people, working through agents and contractors.
Contact William B. Cassidy at wcassidy@joc.com. Follow him on Twitter at @wbcassidy_joc