XPO Logistics Inc. announced it has acquired UX Specialized Logistics, a North American provider of last mile logistics services for major retail chains and e-commerce companies.
The purchase price was $59 million while the acquisition is expected to be immediately accretive to earnings, according to XPO. For the five years prior to acquisition, UX increased revenue at a compound annual growth rate of 19%.
Founded in 1978, UX is a non-asset, last mile logistics provider that specializes in logistics for the home delivery and installation of heavy goods, including e-commerce delivery, and same-day delivery services. It has approximately 700 employees and contracted capacity of over 1,600 independent carriers and installers. XPO will integrate the acquisition into its XPO Last Mile division.
“UX is a highly scalable, tech-savvy addition to our last mile operations. This acquisition expands our network for heavy goods home delivery, where we’re already the number one provider, and adds more density to our growing e-commerce logistics footprint,” said Bradley Jacobs, chairman and chief executive officer of XPO. “UX has demonstrated strong organic growth based on long-term relationships with blue chip retailers who can use a wide range of our services.”
XPO is reportedly one of the fastest growing logistics service providers in North America, purchasing more than a dozen companies over the past three years.
Last week the company announced it has raised more than $400 million for general corporate purchases, including possible acquisitions.