Camden-based logistics company NFI on Wednesday announced it acquired Transfix’s freight brokerage operation. Transfix will pivot to focus on its software, with NFI the first customer for Transfix’s Transportation Management System.
The acquisition will help NFI grow its brokerage business, coupled with its existing in-house technology. And it will add more than 15,000 motor carriers to NFI’s carrier network.
NFI has facilities at ports and freight hubs across North America and will absorb more than 100 Transfix employees.
“We’re excited to welcome the Transfix brokerage team to NFI,” Sid Brown, CEO of NFI, said. “Their experienced team provides an exceptional solution that aligns well with our strategy. We look forward to partnering with their customers and enhancing the experience for our current portfolio. As one of the largest and most diversified 3PLs in the marketplace, NFI can leverage its scale and offer its existing service offerings of dedicated transportation, warehousing & distribution and port services to the Transfix customer base.”
Established in 2013, Transfix was the first tech-powered brokerage. Since then, the Transfix Intelligent Freight Platform, a TMS with cutting-edge technology that utilizes automation and machine learning to drive processing costs significantly below industry standards, has helped power the logistics networks of hundreds of leading retailers, consumer brands, manufacturers and logistics companies. By divesting its freight brokerage operation, Transfix will now entirely focus on taking its technology to market as a Software-as-a-Service and data solutions provider that addresses the distinct needs of brokers, shippers and carriers.
“We believe the Transfix TMS will be a game changer for us,” David Broering, president of integrated logistics solutions at NFI, said. “This acquisition and ongoing partnership is a great opportunity to accelerate our digital approach while combining our operational strength with their technical expertise to create more value for our customers and carriers.”
McCarter & English LLP and O’Melveny & Myers LLP served as legal counsel for Transfix, and UBS served as financial adviser on the transaction. Cozen O’Connor served as legal counsel for NFI.
