Fastfrate Group has acquired ASL Distribution Services Limited (ASL) – a transportation, warehousing, distribution and final mile service provider.
The details of the agreement were not made public. Fastfrate says the purchase, which includes all operating entities, is projected to increase its revenue by $120 million in 2021.
The deal adds 13 terminals and final mile hubs to Fastfrate’s network in Ontario, Quebec, Manitoba and New York.
Fastfrate Group says the acquisition will provide it an entry point into the e-commerce marketplace. ASL’s final-mile delivery division currently completes over two million deliveries per month.
“ASL already has the technology and the processes in place to fulfill the needs of Fortune 100 companies in the e-commerce space,” said president and CEO Manny Calandrino.
“By integrating this into Fastfrate’s national infrastructure and providing our substantial account-base with an enhanced service offering, we see tremendous opportunity for accelerated, national growth.”
There will be no changes to ASL management.
Cole Dolny, president and CEO of ASL Distribution Services noted that the two companies have been working together for 30 years. “Both companies have a highly creative and entrepreneurial spirit. Our similar cultures and long-standing record of protecting and enhancing our customers’ supply chain were important factors in the decision process,” he said.
This acquisition follows last year’s purchase of Bestway. Fastfrate Group consists of five companies including Fastfrate, Canada Drayage Inc. (CDI), Fastfrate Integrated Logistics, Bestway and now ASL Distribution Services.
Fastfrate Group executive chairman Ron Tepper noted that the ASL buy is part of the company’s plan to grow through acquisition. “Each company in our group brings its own specialization to complement and strengthen every facet of our customers’ supply chain. This latest addition of ASL not only greatly enhances our ability to serve final mile and e-commerce segments but allows both Fastfrate and ASL customers to benefit from a greater national network.”