TFI to acquire APPS Transport to boost Canadian LTL business

Ontario-based carrier will strengthen existing less-than-truckload footprint

TFI International is acquiring Canadian LTL and intermodal carrier APPS Transport Group. (Photo: APPS Transport Group)

TFI International (NYSE:TFII)  has signed an agreement to acquire APPS Transport Group, a Canadian less-than-truckload (LTL) and intermodal carrier based near Toronto, the company said on Friday.

The acquisition will help bolster TFI’s lagging Canadian LTL business. APPS Transport has annual revenue of about $76 million (CA$100 million), with about 70 company drivers and more than 80 independent contractors. 

It also suggests TFI is carrying on business as usual after a ransomware attack hit its four parcel and courier subsidiaries, including Canpar Express. On Monday, a hacking group leaked files apparently stolen from Canpar.

An acquisition of a Canadian LTL carrier seemed all but certain following comments by CEO Alain Bedard to financial analysts in July after the company reported second-quarter financial results. The APPS acquisition will effectively bolster TFI’s existing LTL footprint. 

“In particular, the APPS operational network should provide an excellent strategic fit with our current operating regions, providing ample opportunity to further enhance customer service,” Bedard said in a statement accompanying the acquisition announcement. 

It also came less than two weeks after TFI raised $219 million in a share offering. The company said the funds could help fuel future acquisitions. 

Montreal-based TFI, Canada’s largest trucking company, has made four acquisitions since June.

Click for more FreightWaves articles by Nate Tabak

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