Roadrunner buys Integrated Services to expand reach into automotive warehousing

Roadrunner Transportation Systems Inc., a less-than-truckload provider, said today it bought Integrated Services, a Kokomo-Ind.-based warehousing provider to the automotive industry, for $13 million.

The acquisition is the third this year for Cudahy, Wis.-based Roadrunner, which as an "asset-lite provider" controls its fleet utilization but, for the most part, doesn't own the equipment or have company-owned drivers. Integrated Services will be folded into Roadrunner's "truckload logistics" division, the company's largest unit. Integrated Services generated approximately $21 million in sales during 2013.

In March, Roadrunner bought Unitrans International Corp., a nonasset-based provider of international logistics services. In February, it acquired Rich Logistics, which primarily serves the automotive industry in the U.S.-Mexico market. Roadrunner paid more than $100 million for the two companies combined. The company has made no secret of its plans to expand through acquisition. It recently expanded its line of credit to $550 million from $368 million through 2019, proceeds of which it will use in part to fund potential purchases.