Universal Logistics Holdings has purchased Container Connection for a price of $60m. The acquisition marks the fourth strategic acquisition Universal Logistics Holdings has made in the intermodal space in 2018
With a focus on retail and manufacturing industries, Container Connection utilises a network of over 230 independent contractors to provide full-service harbour drayage to the Ports of Los Angeles and Long Beach, California. Headquartered in Riverside, California, Container Connection serves customers that are primarily located within the Inland Empire and Central Valley areas. Container Connection also offers warehousing, secured parking and yard space at its 18.5-acre facility.
The cash purchase price was $60m just above the operating revenue of $55.5m which Container Connection reported for 2017. Container Connection will operate as a subsidiary of Universal Intermodal, Inc., and the transaction is expected to be immediately accretive.
Jeff Rogers, Universal’s Chief Executive Officer commented: “Complementing our local drayage service to the Ports of L.A. and Long Beach, the acquisition of Container Connection ties together the Inland Empire for a comprehensive Southern California intermodal strategy.”
Source: Universal Logistics Holdings
