Ryder announces acquisitions to expand e-commerce fulfilment network and add multi-client warehousing capability

Ryder

Ryder has announced it has completed the acquisitions of Whiplash, a national provider of omnichannel fulfilment and logistics services, and Midwest Warehouse & Distribution System, a provider of warehousing, distribution, and transportation solutions.

The deals aim to expand Ryder’s e-commerce fulfilment network, add a proven e-commerce technology and operating platform, and add multi-client warehousing capabilities to the 3PL’s end-to-end supply chain offerings.

Ryder completed the Whiplash transaction on January 1, 2022, for approximately $480m in cash. It is accretive to shareholders and is expected to add approximately $480m in gross revenue to Ryder’s supply chain solutions business segment in 2022 and provide incremental growth to Ryder’s earnings in 2022. Additionally, the company completed the Midwest acquisition on November 1, 2021. It is expected to add approximately $135m in annual revenue to Ryder’s supply chain solutions business segment in 2022 and provide incremental growth to Ryder’s earnings in 2022.

With the Whiplash acquisition, Ryder expands its e-fulfilment network with scalable e-commerce and omnichannel fulfilment solutions, a technology and operating platform, a roster of more than 250 customer brands, and 19 dedicated and multi-client warehouses totalling nearly seven million sq ft with access to port operations and gateway markets. With the expanded footprint, Ryder’s e-commerce and omnichannel fulfilment solution is expected to deliver to 100.0% of the U.S. within two days and 60.0% of the U.S. within one day.

The Midwest acquisition adds nine multi-client and eight dedicated-customer warehouses primarily serving food, beverage, and consumer packaged goods customers. Midwest’s warehouse space totals approximately seven million sq ft and is supported by a company-owned fleet of trucks to service customers.

“The acquisitions are consistent with our strategy to accelerate growth in our higher-return supply chain business segment,” says Robert Sanchez, chairman and chief executive officer for Ryder.

Source: Ryder

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