Regional courier companies to merge in Tennessee
Private equity firm The Riverside Company has acquired a regional, time-sensitive courier company in the US state of Tennessee. The company aims to merge Alliance1 with another Tennessee-based courier firm, Express Courier International, which it acquired five years ago.
Alliance1 provides Express with routes throughout Tennessee, including to Nashville, Memphis, Knoxville, Jackson and the Tri-Cities area.
Riverside said adding it to Express would help solidify the firm’s position in the state’s same-day courier market in the Southeast, providing additional route density, improved customer service and increased market share.
The newly-acquired company serves customers primarily in the pharmaceutical distribution and medical lab industries.
“This deal cements ECI’s leadership position in Tennessee and offers many advantages,” said Riverside Managing Partner Loren Schlachet. “With increased route density, the combined companies will serve more customers more effectively than ever before.”
Riverside, a private equity investment group based in Cleveland, Ohio, acquired Express back in June 2006.
Express, which was founded in Memphis in 1984, now has its headquarters in Franklin, just outside Nashville, and serves 10 southeastern states in the US through 21 branch offices. The firm has more than 1,000 drivers and 185 other employees.
The company said its core competencies were complementary with Alliance1, with the merger providing customers with a “”complete spectrum” of services and technology for both expedited and reliable transportation within the Southeast.
Express president Chuck Moyer said: “Given the route overlap and similar nature of our businesses we anticipate a seamless integration that should leave customers of both firms even better served. We’re excited about becoming even more effective.”
Back in February while denying industry rumours that Express was for sale, Moyer said his company was continuing to invest in organic growth but was also open to partnerships and possible acquisitions.
“We are always looking for more opportunities to work with other companies. Sometimes these relationships lead to acquisition discussions,” he said.
