The acquisition of ITS Logistics by Echo Global Logistics has created a major player in the transportation sector, with combined annual revenue exceeding $5 billion. The deal brings together two industry giants, expanding Echo's platform and further solidifying its position as a leading provider of supply chain solutions. With this acquisition, Echo is now poised to deliver even more comprehensive services to its customers, leveraging ITS's extensive logistics capabilities alongside its own advanced technology and automation capabilities.
Echo Global Logistics has announced the completion of its acquisition of ITS Logistics, marking a significant milestone in the company's growth strategy. The deal not only expands Echo's platform but also brings together two industry leaders with complementary strengths. By merging their operations, Echo is well-positioned to deliver smarter, more reliable solutions for customers while continuing to scale its range of services.
Founded in 1999, ITS Logistics has established itself as a major player in the transportation sector, offering a broad range of logistics services including drop-trailer and trailer pool capabilities, container management, drayage, and intermodal services. The company's extensive network of dedicated truckload capacity, omnichannel distribution, and fulfillment services has made it an attractive partner for shippers seeking reliable and efficient supply chain solutions.
ITS Logistics's acquisition by Echo Global Logistics brings together two companies with a shared vision of leveraging people and technology to deliver exceptional value to customers. By combining ITS's differentiated logistics capabilities with Echo's advanced technology, automation, and expanding use of AI across its operations, the new entity is well-positioned to drive innovation and growth in the industry.
Echo Global Logistics has a long history of growth through strategic acquisitions, transforming from a non-asset-based TL brokerage into a diversified transportation and logistics provider. Founded in 2005, the company has expanded its reach across North America, specializing in freight brokerage and managed transportation services for all major trucking modes and less-than-truckload, intermodal, and cross-border transportation.
Echo's proprietary tech platform utilizes automation, machine learning, and AI to optimize transportation, improve visibility, and simplify supply chain functions. This technology has been instrumental in driving the company's growth and success, enabling it to deliver smarter, more reliable solutions for customers while continuing to scale its range of services.
With over 60 locations across North America, Echo Global Logistics is well-positioned to capitalize on the growing demand for logistics services. The company's extensive warehousing capabilities further enhance its ability to provide comprehensive supply chain solutions to shippers seeking flexibility and reliability.
The combined entity generated $5.2 billion in revenue last year, underscoring the significant value created by this acquisition. Echo Global Logistics was taken private in 2021 by The Jordan Company in a deal valued at $1.3 billion, providing the necessary resources for this strategic expansion.
Goldman Sachs and UBS Group acted as financial advisers on the deal, with J.P. Morgan serving as the lead adviser to ITS and Jefferies also acting as a financial adviser. This partnership highlights the industry's reliance on experienced financial advisors to navigate complex transactions like this one.
The acquisition of ITS Logistics by Echo Global Logistics marks a significant shift in the transportation industry, as two of its largest brokerage platforms merge to create an AI-enabled 3PL. This move is expected to bring about increased efficiency and reliability for shippers across North America.
