Fulfillment service provider Stord today said it has acquired Pitney Bowes’ e-commerce fulfillment business, saying the Hebron, Kentucky, fulfillment center will expand its network of commerce enablement technology for omnichannel brands.
The news comes just four weeks after Stamford, Connecticut-based Pitney Bowes announced that Gregg Zegras had retired as president of its Global Ecommerce segment as part of an effort “to identify alternatives that can eliminate ongoing losses within the segment.” And in May, the company had announced the appointment of cost-cutting specialist Lance Rosenzweig as interim CEO, replacing Jason Dies in the same role.
Those moves are part of a larger effort by Pitney Bowes to target additional annualized cost savings of $60 million to $100 million, and to make improvements to its balance sheet and cash management to expedite the paydown of high-cost debt, the company said.
Terms of the deal were not disclosed.
With the capacity to ship over five million packages annually, the 640,000 square foot capacity Kentucky facility becomes the largest warehouse in Stord’s network and includes significant climate control storage, a pick mezzanine, pallet racking, and robotic automation. It also provides additional middle-of-country, single node coverage and complements Stord’s Atlanta headquarters, the firm said.
According to Stord, the center continues its investments in automation with robust conveyance flows, print-and-apply machines, and robotics kitting arms to drive efficiency and speed of delivery for brands.
“This new facility is a powerhouse for existing customers and allows brands to rapidly scale [their] business and meet consumer demand,” Kyle VanGoethem, VP of Strategy and Innovation at Stord, said in a release. “With 52 dock doors, 15k pallet positions, and 136k cubic feet of bin shelving, Stord can service omnichannel brands from any vertical -- be it consumer goods, health and beauty, or other high-volume DTC and B2B products.”
Today’s announcement follows Stord’s recent acquisition of ProPack Logistics and its expansion into Europe with newly launched centers in The United Kingdom and The Netherlands. The Kentucky site joins 10 other North American fulfillment centers including Seattle, WA; Salt Lake City, UT; Nashville, TN; Vancouver, BC; Mississauga, ON; Atlanta, GA; North Haven, CT; Dallas, TX; Reno, NV; and Las Vegas, NV.
