Canada Cartage Corporation, one of Canada’s largest transportation and logistics providers, has announced it has entered into a definitive agreement to acquire The GTI Group (“GTI”). Headquartered in Montreal, Quebec, GTI provides customers in Canada and the United States with a range of supply chain service offerings including brokerage, transportation management, freight forwarding, drayage, intermodal, warehousing, and specialty trucking services for oversize and heavy haul freight. Financial terms of the transaction were not disclosed.
With the acquisition, Canada Cartage is expected to generate over C$1 billion of annual revenue on a combined basis and significantly increase its scale in services such as freight management, freight brokerage, and specialized freight hauling. The company is also entering the U.S. market for the first time in its 110-year history. With main offices in Houston, Texas, Des Moines, Iowa, and Franklin, Tennessee, GTI has a significant customer base and market presence in the United States.
Richard Lafreniere, President & CEO of The GTI Group added, “This is an exciting new chapter for GTI. We share many of the same values as Canada Cartage and have been on a similar path of growing our business and expanding our supply chain services. We see tremendous opportunities with this transaction for our people, our customers, and the future growth of our business.”
As part of the acquisition, GTI will continue to operate under its existing brand and management structure, ensuring a smooth transition for employees, customers, and business partners. This approach aligns with Canada Cartage’s commitment to preserving the strengths and values that have contributed to GTI’s success.
The acquisition is subject to regulatory approvals and other customary conditions and is expected to close by December 31, 2023.
National Bank Financial Inc. and BMO Capital Markets acted as financial advisors to Canada Cartage.