GEODIS to acquire Need It Now Delivers in bid to boost US offering
You can read this article in 3 minutes
GEODIS has announced that it has signed an agreement to acquire US firm Need It Now Delivers. The logistics company says the acquisition will allow it to significantly increase its presence in the United States in the areas of contract logistics and last-mile delivery.
Need It Now Delivers has 65 company locations and 300 distribution points, which GEODIS believes provides strong national coverage, particularly in the eastern United States.
The to-be-acquired company specializes in distribution, last-mile delivery, and in multi-channel contract logistics across a wide range of high-growth industry verticals. Owned in part by management along with the private equity fund Palm Beach Capital, the New Jersey-based company employs approximately 2,000 people and is expected to reach revenues close to $750 million in 2022.
Commenting on the agreement, Marie-Christine Lombard, CEO of GEODIS, said:
“The acquisition of Need It Now Delivers is a key step through which we will strengthen and diversify our offerings in the U.S., providing our customers with a global and integrated end-to-end freight network in the United States, from international transport to last-mile delivery. This new acquisition represents an important milestone as we continue to progress on our strategic plan, Ambition 2023.”
Eric Mautner, CEO of Need It Now Delivers, added:
“Since our inception in 1987, Need It Now Delivers has scaled rapidly to position ourselves as an industry leader with a special focus on omnichannel and last-mile delivery. Together with GEODIS, our teams can continue to build upon this momentum to provide customers with a more expansive network of flexible, efficient and reliable services that will ultimately allow us to successfully meet projected industry dynamics such as continued e-Commerce growth and increasingly complex supply chains that require the need for omnichannel capabilities.”
GEODIS states the acquisition will boost its American footprint and e-Commerce services portfolio, with customers able to benefit from “the Group’s expertise in end-to-end supply chain expertise in freight forwarding, road transport, contract logistics and last-mile delivery.”
Once the transaction is completed, the GEODIS group will employ roughly 15,000 people across more than 200 locations in the U.S and exceeding 17,000 in the Americas.
The acquisition is subject to regulatory review and approvals, which are expected to be obtained by end of 2022. Both companies will operate as independent businesses and run their operations as usual until that time.