- 9 January 2017
- Transport / Logistics Services
International logistics company UPS has bought Freightex, an asset light provider of truckload and less than truckload (LTL) for an undisclosed sum.
“The UK and Europe are strategic 3PL freight brokerage growth markets for UPS and there is significant cross border opportunity,” said Alan Gershenhorn, UPS chief commercial officer. “This acquisition provides UPS customers an immediate, knowledgeable and competitive UK and European presence.
UPS bought Coyote Logistics in 2015, a leading truckload brokerage in North America. The two acquisitions are complementary and UPS now expect them to share the best business processes, system technologies as well as leveraging customers and carriers between them.
“We intend to align Freightex with Coyote for greater efficiency and continue to invest for further growth.”
UPS new acquisition has eight locations across the UK and continent and uses an asset-light model to match outgoing freight shipment with available trucking capacity in its network of carriers. Last year, Freightex Ltd had a turnover of £22.5 million and an operating profit of £618,000.
Tim Phillips, Freightex’s chief executive officer, said: “We are excited to join the UPS organisation and Coyote brokerage operations. UPS and Coyote have industry-leading technology, a no-excuses customer service culture, and a proven record of success. We will improve our efficiency through Coyote’s technology and use of the UPS network, while continuing to out-service the competition and provide results that customers count on us to deliver.”
Phillips will continue to lead the Freightex business, which will operate as a wholly-owned subsidiary of UPS.
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