Echo Global Logistics announced Thursday the acquisition of fellow Chicago-based freight broker Fastmore Logistics. The deal provides Echo competence in selling domestic transportation services to international freight forwarders.
Financial terms of the transaction were not provided.
Echo was taken private by private equity firm The Jordan Company in a $1.3 billion deal last November.
“We’re excited to continue investing in industry growth opportunities, especially since going private with The Jordan Company almost one year ago,” said Echo CEO Doug Waggoner in a news release. “This transaction allows us to expand into a new target market and build on Fastmore’s success.”
In addition to a freight forwarding customer list, Echo will look to leverage Fastmore’s specialized carrier network, which includes cargo van and straight truck providers in addition to full truckload carriers.
“Expanding our client base to include the domestic transportation of international freight forwarders through Fastmore is a natural extension of our business,” said Dave Menzel, Echo’s president and chief operating officer. “We’re pleased to invest in their extensive knowledge of international forwarding operations.”
In May, Echo acquired Roadtex Transportation, a cold storage and less-than-truckload transportation provider.
Echo has made more than 20 acquisitions since it was founded in 2005. Its network includes more than 30 offices, providing brokerage and managed transportation services to 35,000 customers. The company sources a network of more than 50,000 transportation providers to offer shippers TL, LTL, intermodal and expedited capacity.
“We’re excited to join the Echo family, who will continue to invest in our core business while expanding our capabilities and service offerings to freight forwarding clients,” said Ray Sciuckas, Fastmore founder and CEO.
Republic Partners was the financial adviser to Fastmore on the transaction.
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