A.P. Moller-Maersk has announced the completion of its acquisition of Pilot Freight Services, a US-based international and domestic supply chain provider with cross-border solutions into Canada and Mexico.
After the acquisition, Pilot Freight Services will be rebranded to Pilot – A Maersk Company.
The acquisition will benefit customers by offering customised international, domestic and cross-border logistics to Maersk’s North America landside logistics capabilities for business-to-business (B2B) and business-to-consumer (B2C) distribution models, according to a statement.
Maersk said it is aiming to accelerate solutions for customers that support their strategic business ambitions. With Pilot – A Maersk Company, Maersk noted it extends its end-to-end offerings deeper into the North America supply chain of its customers, adding important supply chain infrastructure capacity and scale.
The combined Pilot and Maersk scale will offer customers approximately 150 facilities in the US, including distribution centers, hubs and stations.
“Our customers are looking for us to accelerate their supply chain speed, remove handoffs and constantly improve their end-to-end, omni-channel business model to reach their financial growth goals. Pilot’s expertise and existing infrastructure enables us to achieve these goals by creating more agile, nimble supply chains to serve customers the way they want to be served,” commented Narin Phol, regional managing director of Maersk North America.
Pilot has a network of 190 global partners and a North American facilities-based network of 87 stations and hubs. The company uses mainly third-party providers of trucking and has access to controlled capacity which includes full truckload (FTL) and less-than-truckload (LTL) for both B2C and B2B distribution.
“We like Maersk’s continuous improvement mindset and active investment pattern in expanding supply chain solutions so we’re excited to work together in our expanded role,” pointed out Pilot Freight Services CEO, Zach Pollock.
The transaction price of US$1.68 billion equals to an enterprise value of US$1.8 billion post IFRS-16 lease liabilities.
