UTi Worldwide acquires Unigistix
UTi Worldwide Inc has announced further expansion of its contract logistics capabilities with the acquisition of Unigistix Inc, based in Toronto, Ontario, Canada.
(10/13/2004)
UTi acquired the privately held company from its principal shareholders, including lead investor Wynnchurch Capital Partners and Unigistix’s founder, for an upfront cash payment of CAN$93.5 million (at current exchange rates, US$74.5m). The purchase price will be adjusted after the closing for the amount of working capital of Unigistix, and the amount is not expected to be material.
The agreement includes potential additional payments over a two-year period of up to approximately CAN$6 million (US$4.8m) for an earn-out based on the anticipated future growth of Unigistix. Unigistix currently operates at an estimated annual net revenue run rate of approximately CAN$35 million (US$27.9m).
Unigistix serves customers in the telecommunications, apparel, pharmaceuticals and healthcare sectors with highly flexible and integrated e-commerce-based logistics solutions. Twice named as one of Canada’s 50 best-managed companies, the 3PL provider serves multiple global brand name customers through long-term contracts.
“UTi’s acquisition of Unigistix marks another important extension of our contract logistics capabilities as we move toward becoming the primary logistics partner for more of our customers,” said Roger MacFarlane, chief executive officer of UTi Worldwide, adding that UTi now has a total of 106 contract logistics facilities under management throughout its Americas, Europe, Africa and Asia Pacific regions.
With approximately 290 full- and part-time employees, Unigistix operates from three facilities in the Toronto area. President & CEO of Unigistix, Michael Dunlop, will retain his leadership position.
The Unigistix acquisition expands UTi’s operations in Canada, which provide local and global customers a full range of customized and integrated services, including order management, freight forwarding/customs brokerage, contract logistics and distribution, through nine locations in five cities throughout the country.
