Radiant Logistics acquire Isla International
Radiant Logistics, Inc. has agreed to acquire the assets of Laredo-based Isla International Ltd., a privately-held company that provides a full range of cross-border transportation and logistics services between the US and Mexico. The transaction is valued at up to $15.0m and is expected to close in Radiant’s second fiscal quarter ending December 31, 2011, pending the satisfaction of customary closing conditions.
The $15.0m transaction will consist of cash of: $7.7m to be paid at closing, $1.3m in company stock payable on the three-month anniversary of the closing and an additional $6.0m payable over the next four years in a combination of cash and company common stock based on the future performance of the acquired operation. The company may, at its sole option, elect to satisfy up to 25% of each of the performance-based payments through the issuance of the company’s common stock and valued based upon a 30-day volume weighted average price to be calculated preceding the delivery of the shares. Additionally, Caltius Mezzanine has agreed in principle to provide $10.0m in subordinated debt in connection with the closing of transaction, subject to satisfaction of various closing conditions.
Founded in 1996, Isla provides bilingual expertise in both north and south bound cross-border transportation and logistics services to an account base including manufacturers in the: automotive, appliance, electronics and consumers packaged goods industries from location in Laredo, Texas. Isla generated approximately $3.0m in normalized EBITDA on $25.0m in revenues for the twelve months ended June 30, 2011.
On the acquisition, Radiant Chairman and CEO Bohn Crain remarked: "We are proud to announce our partnership with Jonathan Fuller, Alfonso Serna and the entire Isla team. We believe this trend in ’near-sourcing‘ – where companies are moving production to nearby/bordering countries in an effort to minimize costs and reduce production times – is going to become even more prevalent in the years ahead. The Isla transaction is also representative of the broader pipeline of opportunities that we are seeing within the agent-based forwarding community."
Quelle: eyefortransport
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