France-based contract logistics provider, ID Logistics, has agreed to acquire 100 per cent of US-based Kane Logistics.
“The acquisition of Kane Logistics represents one of the most important external growth operations in the history of the company,” said ID Logistics Chair and CEO, Eric Hémar.
“After starting in 2001 with a few large retail customers that we were able to quickly support internationally, the company shifted to e-commerce and retail preparation in 2013 with the acquisition of CEPL.
“It then strengthened its presence in Europe with the recent acquisition of GVT in Benelux. Today [14 February 2022], with the acquisition of Kane Logistics, we are opening up new prospects in North America, where we are enhancing our know-how, in particular with consumer package goods customers, and welcoming experienced and dynamic managers to our team.”
Kane Logistics, founded by the Kane family in 1930, is a value-added warehousing and contract logistics operation. The business was acquired by Harkness Capital Partners in 2019 with the goal of building the company’s platform and accelerating growth. Over the past three years, Kane Logistics has deeply transformed itself to become a leading player in contract logistics, notably with blue-chip consumer packaged goods and food and beverage manufacturers and distribution specialists.
By adding value-added services to traditional logistics services, and strengthening its overall team, Kane Logistics has grown its revenue by 20-plus per cent annually since 2019 to reach $235 million USD by 2021.
Kane Logistics now operates 20 hubs across the country (especially in Pennsylvania, Georgia, Ohio, Illinois and California) representing 725,000 square metres.
This shift was led by an experienced management team with deep operating experience, including at leading contract logistics companies such as Ryder, and Jacobson Companies (the US-based logistics business acquired in 2014 by Norbert Dentressangle). The Kane team will continue with the company post the closing of the investment with a continued focus on providing world-class customer service and growing its customer base.
“I believe very strongly that the cultural fit between the two organisations is close to perfect,” said Kane Logistics Lead Director and CEO, Tony Tegnelia.
“ID Logistics is the ideal next partner to move the company forward, to serve our customers, and to help maintain our growth trajectory.
“Their cultural values are a mirror of our values, and they also have a very strongly committed management team.”
Ted Dardani, Partner at Harkness Capital and Kane Board member said: “The combination of ID Logistics and Kane Logistics creates a strong opportunity for continued future growth. The Kane team has done a great job in further building the business over the past few years. We benefited from and appreciated the leadership and long heritage of the Kane family in creating a company dedicated to serving its customers. The next chapter for ID and Kane should be equally exciting.”
Earlier this month, ID Logistics reported a triumphant 20 years in business.