A.P. Moeller Maersk, an integrated container logistics services provider, announced that it intends to acquire Glen Mills, Penn.-based 3PL, last-mile and full mile services provider Pilot Freight Services, from Pilot’s owners, New York-based private equity firm ATL Partners, and Canadian institutional investor British Columbia Investment Management Capital. The purchase price is $1.68 billion (USD), adding that the acquisition is subject to regulatory review and approval, which it expects to be obtained by the second quarter, with both Maersk and Pilot operating as independent businesses until the acquisition is made official. And they added that upon completion of the acquisition, Maersk plans to extend its integrated logistics offering deeper into the supply chain of its customers to complement previous acquisitions it has made to provide integrated logistics solutions in North America, including Performance Team (PT) (B2B warehousing and distribution) and Visible SCM (e-commerce warehousing and parcel distribution). Maersk also said that Pilot will be adding new services within the big and bulky e-commerce segment, and subsequently boost cross-selling opportunities, as well as create significant cost synergies by leveraging capabilities across the different parts of service solutions.
Established in 1970, Pilot is a full-service transportation and logistics provider with 87 stations and hubs throughout North America with B2C expertise in retail, home furnishing and consumer electronics, noted a Maersk customer advisory. The combined Pilot and Maersk scale will offer customers over 150 facilities in the U.S., including distribution centers, hubs, and stations, adding that its offerings combined with Maersk’s international network will “create significant new capabilities.” Shipping giants like Maersk are converting their windfall 2021 profits in shipping into long-term sustainable growth in logistics.