Mubadala Capital, the wholly owned asset management subsidiary of Mubadala Investment Company, announced the entry into a definitive agreement to acquire Canada Cartage, a leading logistics platform that provides general freight services, dedicated national fleet solutions, managed conveyance, fulfilment & distribution, and home delivery services to some of Canada’s major blue-chip businesses in the food, retail, grocery, and e-commerce sectors.
Canada Cartage presently operates across a network of thirty-three amenities all through Canada and comprise of two business segments: Dedicated transportation and Logistics.
The Dedicated transportation business offers its clients with specialist management of their transportation requirements, allowing them to achieve cost efficacies and restructure resources towards core group operations. This segment guarantees vital distribution and transportation services that are embedded into client operations and includes contracted collaborations with clients that in numerous circumstances span decades and multiple economic cycles.
The Company’s Logistics business offers asset-light supply chain solutions involving freight management of both inbound and outbound commodities, warehousing, fulfilment, order and inventory management, and final delivery to both B2B and B2C end-users. Within both companies, Canada Cartage is profoundly integrated into its customers’ supply chains, which creates and maintains operating efficiency and long-term client associations.
Adib Martin Mattar, Head of Private Equity at Mubadala Capital, stated that the company has developed their private equity industry by partnering with exceptional management teams that operate great companies. Canada Cartage is a prime model of both, and one that operates in a sector where the company has significant expertise, which is industry services. Mubadala Capital looks forward to continuing to work with Canada Cartage’s management team, customers, and employees, to develop on the company’s robust legacy and strengthen its next phase of growth.
Jeff Lindsay, President, and CEO of Canada Cartage stated that the company is excited to partner with Mubadala Capital to help them continue building a world-class transportation and logistics business. Lindsay further added that the Mubadala Capital’s team shares their vision of creating an industry leader that concentrates on innovative supply chain solutions, robust customer partnerships, and being an excellent place for individuals to work.
The transaction is subject to customary closing conditions, involving receipt of Canadian regulatory approvals, and is anticipated to end in the next 60 days
Mubadala Capital is a differentiated and value-added investor that sources proprietary opportunities and actively leverages Mubadala Investment Company’s global network in its numerous industry events. Its extremely methodical and institutionalized procedure of evaluating investment opportunities offers unique benefits to the assistance of its investors.
Scotiabank is playing a role of an exclusive financial advisor to Mubadala Capital, and CIBC World Markets Corp is staging as an exclusive financial advisor to Canada Cartage. Bank of Nova Scotia, BMO Capital Markets, and RBC Capital Markets represented as Joint Bookrunners and Co-Lead Arrangers for the financing offered to Mubadala Capital.
The transaction is subject to customary closing conditions, involving receipt of Canadian regulatory approvals, and is anticipated to end in the next 60 days.
About Canada Cartage
Canada Cartage was founded in 1914, Canada Cartage group of companies is one of the country’s largest transportation and logistics providers. Under the brand names of Canada Cartage, Stalco, Speedee Transportation, Laurentien Transport, and Mackie Moving Systems, they offer dedicated contract transportation, managed transportation services, general freight, fulfilment and distribution, and home delivery services. The company has a workforce of more than 4,000 at locations across the country.
About Mubadala Capital
Mubadala Capital is the owned asset management subsidiary of Mubadala Investment Company, a USD 284 billion global sovereign investor headquartered in Abu Dhabi city. Mubadala Capital operates USD 16 billion in cumulative through its own balance sheet investments and in third-party capital vehicles on behalf of institutional investors, as well as four private equity funds, three early-stage venture funds and two funds in Brazil concentrating on distinct circumstances.