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Xpediator acquires Nidd Transport in £4.6m deal
6th Oct 2020 10:22
(Sharecast News) - Freight management service Xpediator acquired international groupage freight forwarder and operator Nidd Transport on Tuesday.
Xpediator will pay a total consideration of £4.6m for the North Yorkshire-based outfit, funded from existing resources, with the new business to continue operating under the Nidd brand.
The AIM-listed group said Nidd's focus on western Europe complemented its focus on central and eastern Europe, Italy and Germany and also presented "clear opportunities" to cross-sell services to its customer base and maximise carrying capacities to and from Europe.
The acquisition was expected to be immediately earnings enhancing.
Chief executive Robert Ross said: "We have known Nidd Transport for some time and its reputation for being an excellent regional freight forwarder.
"Our client bases are similar but do not have significant overlap and while our services our comparable our geographic focuses are different. There are therefore immediate opportunities to provide greater geographic coverage to both client bases and we expect both existing client bases to benefit from the enhanced service offerings."
As of 1020 BST, Xpediator shares had shot up 17.30% to 26.98p.
Xpediator will pay a total consideration of £4.6m for the North Yorkshire-based outfit, funded from existing resources, with the new business to continue operating under the Nidd brand.
The AIM-listed group said Nidd's focus on western Europe complemented its focus on central and eastern Europe, Italy and Germany and also presented "clear opportunities" to cross-sell services to its customer base and maximise carrying capacities to and from Europe.
The acquisition was expected to be immediately earnings enhancing.
Chief executive Robert Ross said: "We have known Nidd Transport for some time and its reputation for being an excellent regional freight forwarder.
"Our client bases are similar but do not have significant overlap and while our services our comparable our geographic focuses are different. There are therefore immediate opportunities to provide greater geographic coverage to both client bases and we expect both existing client bases to benefit from the enhanced service offerings."
As of 1020 BST, Xpediator shares had shot up 17.30% to 26.98p.