The acquisition will expand NFI’s suite of supply chain services, specifically its brokerage, intermodal and global freight forwarding capabilities throughout North America. It will also generate $500 million more in annual revenue for NFI’s non-asset logistics business units (20% of total revenue of approximately $2.5 billion).
“With CAI Logistics’ service offerings, NFI will be able to amplify the scalability of its non-asset logistics platform,” Sid Brown, CEO, NFI, said. “As we have showcased with our long history of acquisitions, our ability to combine strong operations is unmatched, resulting in a more robust customer experience and integrated solutions that are seamless for shippers and their end consumers.”
Under terms of the deal, substantially all of CAI’s employees of the logistics business were hired by NFI. CAI Logistics and its entities including ClearPointt Logistics LLC, Challenger Overseas LLC, Hybrid Logistics Inc., and General Transportation Services Inc. will be rebranded to NFI.
“The sale of our logistics business is a key step toward our goal of maximizing shareholder returns by focusing all of our resources on our core container leasing business,” Timothy Page, interim president and CEO of CAI, said.
This is NFI’s 20th acquisition since 2000. BGSA Holding LLC acted as the exclusive advisor to NFI. Financial terms were not disclosed.
“Being a part of the NFI family is a tremendous opportunity for us and for our customers,” Janet Papworth, president, CAI Logistics, said. “Our common approach to customer-centricity, combined with NFI’s vast expertise and capabilities, will undoubtedly generate a new level of value we can provide for shippers.”