Third-party logistics provider (3PL) NFI Industries has acquired the Canadian 3PL Dominion Warehousing & Distribution, the companies announced Tuesday.
Terms of the deal were not disclosed.
The purchase will increase NFI's Canada-based revenue to more than $125 million—about 10 percent of the Cherry Hill, N.J.-based company's total annual revenue of $1.2 billion. NFI will also leverage the new acquisition to continue its expansion of Canadian service offerings, which now include freight brokerage, global freight forwarding, asset-based transportation, and value-added warehousing and distribution.
Buying Toronto-based Dominion brings NFI's warehousing footprint total to more than 31 million square feet, including approximately 2 million square feet of physical locations in Toronto, Calgary, and Vancouver added by the Dominion acquisition, Dominion said.
In addition to expanding NFI's physical footprint, the deal also allows NFI to expand into new business sectors.
"Dominion provides a great opportunity for NFI to enter into new industries like specialty paints and chemicals and expand existing ones," NFI President of Distribution Kevin Patterson said in a release. "The acquisition increases our footprint and also expands our capabilities in these sectors."
NFI has been growing steadily over the past year through deals such as buying the Connecticut freight brokerage United Express and joining forces with supply chain consulting firm Tompkins International to create a fourth-party logistics provider (4PL) called the MonarchFx Alliance.