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The Wellington Group of Companies continues its acquisition expansion strategy with the purchase of Contract Express, according to an announcement Wednesday.
Wellington and Canada-based Contract Express did not disclose terms of the deal. The addition will expand Wellington’s services, including brokerage, trucking and LTL in the US and Canada.
No changes are expected and Wellington Group intends to maintain Contract Express’ DNA, Wellington chairman and CEO Derek Koza said in the release.
However, by combining with Wellington, Contract Express has access to the buying power and support of a larger group, Koza said. Keeping the Contract Express brand allows the company “to have its own unique identity,” he said.
“It’s the unique identity in our businesses that helps make us what we are, which is a well-diversified business that believes our people are our brand and our people are the reason we’re successful,” Koza said.
Contract Express manages a fleet of more than 20 tractors and maintains a network of more than 200 partner companies, according to its website.
Wellington has grown through acquisitions while retaining the brands of the businesses it buys. When this acquired Trucking Proz of Hudson, Wisconsin, in February 2020, the dry truck, aircraft and dedicated services company retained its name and became a division of Wellington.
The trucking and logistics industries have seen a flurry of mergers and acquisitions this year as the industry faces a weak commodity environment.
RXO announced on June 23 that it has entered into a definitive agreement to acquire Coyote Logistics from UPS for $1.025 billion. TFI International on June 19 announced that it has purchased Canada-based food tanker Entreposage Marco.