Dive Brief:
- Ryder System has entered into a definitive agreement to acquire IFS Holdings, known as Impact Fulfillment Services. The 3PL provides a range of services, including contract packaging and manufacturing, warehousing and more.
- The deal aims to expand Ryder’s supply chain services by adding 15 operations across nine states, involving California, Florida, Georgia, Illinois, North Carolina, Ohio, Pennsylvania, Texas and Utah. The companies plan to close the deal in early November. Terms were not disclosed.
- The acquisition will complement Ryder’s existing customer base in food and beverage companies, expanding those relationships and also “attracting new customers in additional verticals, especially in retail, health, and beauty,” Darin Cooprider, senior vice president of consumer packaged goods for Ryder, said in a statement.
Dive Insight:
Ryder has grown its fulfillment capabilities with repeat acquisitions recently, especially in omnichannel fulfillment, e-commerce and new technology.
The South Florida-based logistics and supply chain provider acquired Dotcom Distribution in November 2022, the logistics tech startup Baton in August 2022 and omnichannel fulfillment and logistics services provider Whiplash in January 2022, according to its annual report.
“The acquisition of IFS supports our strategy to accelerate growth in our supply chain business, providing Ryder with new capabilities that are complementary to our existing suite of services,” Steve Sensing, Ryder’s president of Supply Chain Solutions, said in the release.
Abbott Nutrition and PepsiCo have recognized the performance of IFS through company awards, and the Burlington, North Carolina-based business has strived to be a one-stop shop for 3PL services. A Ryder spokesperson said in an email to Trucking Dive that it has no stake in IFS Holdings currently.
Ryder said it would retain all of the approximately 1,000 IFS employees to make the transition seamless for customers, and IFS President Rob LeBaron would become VP of contract manufacturing and packaging.
Ryder projects the deal could add $250 million in annual revenue for its Supply Chain Solutions business segment.
