Third party logistics provider XPO Logistics completed its acquisition of Pacer International making it the largest provider of cross-border intermodal services with Mexico.
The $335 million deal makes XPO Logistics the third largest provider of intermodal services in North America, and the largest cross-border Mexico provider. Its contractual arrangements with rail carriers provide access to more than 60,000 miles of network rail routes. To support these operations, the company manages approximately 17,000 company-controlled containers and has access to more than 100,000 additional big and small boxes. The majority of the company's intermodal services will be rebranded as XPO Logistics.
“We now have a strong platform that fits our customer-centric culture and can support considerably more scale as we continue to grow our multi-modal services to shippers,” said XPO Logistics chairman and CEO Bradley Jacobs. “Over the past few months, every functional area of XPO has been involved in creating a detailed integration plan that we start executing today, along with immediate cross-selling to our combined customer base. We welcome our new employees, customers, rail partners and carriers to XPO."
In connection with the deal, Daniel Avramovich, former CEO of Pacer becomes XPO’s SVP of strategic development and will focus on aligning the company's national and multi-national customers with an expanding base of capacity providers, including major rail relationships.