TFI International has acquired the courier services business of R.R. Donnelley & Sons Co. as the Canadian transportation company looks to grow and squeeze more profits from its logistics business in the United States.
TFI announced the deal Monday without disclosing the price. That follows February’s U.S. initial public offering, which raised $230 million that the company said would help it pursue acquisitions.
R.R. Donnelley’s courier business joins TForce Logistics U.S. The Montreal-based company said the deal will help build its market share for same-day parcel deliveries and network density in the Southeastern and Midwestern U.S.
“The combination with our existing TForce Logistics network builds our strategic mass and density while adding new geographies and an impressive customer base,” CEO Alain Bedard said in a statement.
The deal is part of TFI’s larger effort to build up its U.S. logistics business under TForce.
Bedard told analysts in February that the U.S. logistics business is “one of the diamonds that’s going to be shined” in 2020.
TFI’s U.S. business was a laggard in an otherwise impressive performance for 2019. The company has been working to integrate and breathe efficiency into the assets it acquired from bankrupt courier BeavEx in 2019.