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Home » UPS Acquires U.K. Truck Brokerage Firm Freightex

UPS Acquires U.K. Truck Brokerage Firm Freightex

January 31, 2017
MultiChannel Merchant

To learn more about this latest deal, Multichannel Merchant spoke with Jodi Navta, chief marketing officer of Coyote Logistics, an asset-light trucking firm that UPS acquired in 2015.

MCM: Why this acquisition and why now?

Navta: UPS believes there is a significant market opportunity in the U.K. and Europe to expand the truckload freight brokerage business. This opportunity was identified by the leadership team at Coyote in advance of our acquisition. UPS evaluated the best approach and best timing to expand the Coyote-type brokerage model using its existing technology platform and business processes.

Organic and acquisition approaches were considered. Ultimately Freightex provides a great catalyst to expand the business more efficiently than building internally, since we are acquiring existing customer and carrier networks and extensive employee knowledge about EU transport requirements.

MCM: What part did the growth in cross-border e-commerce play in this acquisition?

Navta: E-commerce is not directly a factor. We see broad opportunity in Europe for all kinds of shipping customers to benefit from a brokered freight product and service solution.

MCM: How does this acquisition position UPS against FedEx and TNT?

Navta: UPS continues to invest more than $2bn in Europe. UPS also recently announced acquisition of 14 new jumbo freighter airplanes to meet increased international air shipping demand. The company remains focused on its customers and providing them with access to the world through an integrated global network to meet their daily demands. UPS has built its network through organic growth and strategic acquisitions and expects to continue this approach.

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Logistics Global Logistics Logistics Outsourcing LTL/Truckload Services Transportation & Distribution Transportation Management Business Strategy Alignment Global Supply Chain Management Consumer Packaged Goods E-Commerce/Omni-Channel Europe
KEYWORDS Business Strategy Alignment consumer packaged goods E-Commerce/Omni-Channel Europe Global Logistics Global Supply Chain Management Logistics Logistics Outsourcing LTL/Truckload Services Transportation & Distribution Transportation Management
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