Port Wings News Network:
A.P. Moller-Maersk (Maersk) has announced the completion of its acquisition of Pilot Freight Services, a leading U.S.-based international and domestic supply chain provider with cross-border solutions into Canada and Mexico. Pilot Freight Services will be rebranded to Pilot – A Maersk Company.
The strategic and highly complementary acquisition will benefit customers by offering customized 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. Equally important, new supply chain capabilities for the big and bulky sector with white glove home delivery service are added.
Maersk is constantly working with its global supply chain to accelerate solutions for customers that support their strategic business ambitions. With Pilot – A Maersk Company, Maersk 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 U.S., 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,” said Narin Phol, Regional Managing Director of Maersk North America.
Pilot brings customized shipping and logistics expertise with a network of 190 global partners and a North American facilities-based network of 87 stations and hubs through which freight is transported and distributed to end customers. 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 including heavy and bulky shipments with white glove service for expedited and time definite services.
“Teaming up with an industry leader like Maersk is a natural fit and will enable our company to tap into significant, new future growth opportunities for our customers and employees. 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,” said Pilot Freight Services CEO, Zach Pollock.
The transaction price of USD 1.68bn equals to an enterprise value of USD 1.8bn post IFRS-16 lease liabilities.
Maersk continues its ambitious plan integrating North American supply chain infrastructure and solutions for customers, adding new end-to-services and scale on an annual basis.
In 2022, Maersk invested in over 400 electric trucks to lead the sustainable transport sector in the U.S. with fleet orders from Volvo Trucks and Einride. Also ahead in 2022, Maersk North America customers will tap into more transatlantic air freight cargo capacity when the acquisition of Hamburg, Germany-based Senator International is completed in Q2 2022, pending all regulatory approvals.
In 2021, Maersk E-Commerce Logistics acquired Salt Lake City, Utah-based Visible Supply Chain Management – a leading U.S.-based E-commerce fulfillment provider to strengthen the company’s business model – with emphasis on B2C and B2B e-fulfillment. In 2020, El Segundo, California-based Performance Team – A Maersk Company was acquired, operating over 60 distribution and fulfillment center locations and Transportation services. In 2019, Maersk Customs Services USA, Inc. acquired Vandegrift Inc, adding important U.S. Customs Brokerage services, expertise and scale to customers looking to optimize their Customs compliance and reduce financial risks.
Established in 1970 and headquartered in Glen Mills, Pennsylvania USA, Pilot is a leading U.S.-based last mile and full mile solutions provider with 87 locations throughout North America, and offices in Spain and The Netherlands with more than 2,600 full-time employees and a flexible pool of employees to support seasonal volume increases.
The company specializes in Business-to-Consumer (B2C) home delivery for big and bulky goods (>70 kgs/155 lbs, non-conveyable) in the U.S. and Business-to-Business (B2B) that is high value, time sensitive freight, requiring high levels of service with last mile and full mile solutions, including in-home installations. Pilot Freight Services
A.P. Moller – Maersk is an integrated container logistics company working to connect and simplify its customers’ supply chains. As the global leader in shipping services, the company operates in 130 countries and employs approximately 95,000 people.