Acquisition enhances service to existing customers
and proposes a powerful service offering to potential clients
MONTREAL, Feb. 23 /CNW Telbec/ - TransForce Inc. (TSX: TFI-T), the leader in the Canadian transportation and logistics industry, today announced the completion of the acquisition of all the outstanding shares of Dynamex Inc. for a purchase price of US$25.00 per share, in cash (the "Acquisition"). The US$248 million transaction was approved by Dynamex at a special meeting of shareholders held on February 18, 2011.
Headquartered in Dallas, Texas, Dynamex is a leading provider of same-day delivery and logistics services in the United States and Canada, offering a wide range of door-to-door fulfillment and distribution services for clients of all sizes and needs for more than 20 years. Dynamex employs more than 1,500 workers and has contracts with approximately 3,700 independent contractors. It has an extensive network of more than 60 business centers across the United States and Canada. For the twelve-month period ended October 31, 2010, Dynamex generated sales of approximately US$418 million.
The Acquisition price has been financed by TransForce's existing credit facilities and the Acquisition is expected to be accretive to TransForce's 2011 earnings.
"Dynamex adds a highly respected brand to our Package and Courier capability. Its same-day delivery enhances service to existing customers while the combination of TransForce and Dynamex constitutes a powerful offering to potential new clients. Importantly, incorporating Dynamex's services will open doors for TransForce in the U.S. market. We are confident that the combination of TransForce and Dynamex will yield attractive synergies with our existing divisions and will create value for our shareholders," commented Alain Bédard, Chairman, President and Chief Executive Officer of TransForce.
"We are excited to begin the next chapter of our corporate growth and are proud to be joining the TransForce family. Dynamex will benefit from the experience, geographic reach and synergies provided by TransForce and we look forward to working with Alain Bédard and his team to capitalize on the significant opportunities in the logistics space," added James L. Welch, President and Chief Executive Officer of Dynamex.
TransForce Inc. (www.transforcecompany.com) is the leader in Canada's transportation and logistics industry. Headquartered in Montreal, Quebec, TransForce creates value for shareholders through managing and investing in a growing network of wholly-owned, operating subsidiaries. TransForce provides a comprehensive and unique combination of capabilities, resources and geographical coverage in both domestic and trans-border markets. Its companies currently operate in four well-defined business segments:
- Package and Courier;
- Truckload, specialized truckload and dedicated services;
- Specialized Services, which includes waste management, energy sector
services, logistics, fleet management and personnel services.
TransForce Inc. shares are listed on the Toronto Stock Exchange under the symbol TFI.
Except for historical information provided herein, this press release may contain information and statements of a forward-looking nature concerning the future performance of TransForce. These statements are based on suppositions and uncertainties as well as on management's best possible evaluation of future events. Such factors may include, without excluding other considerations, fluctuations in quarterly results, evolution in customer demand for TransForce's products and services, the impact of price pressures exerted by competitors, and general market trends or economic changes. As a result, readers are advised that actual results may differ from expected results. No assurance can be given that any events anticipated by the forward-looking information will transpire or occur, or if any of them do so, what benefits that TransForce will derive therefrom.
SOURCE MAISON BRISON - ENGLISH
For further information: Investors: Alain Bédard, Chairman, President and CEO, TransForce Inc., (514) 331-4200, firstname.lastname@example.org; Media: Rick Leckner, MaisonBrison, (514) 731-0000, email@example.com