Family investment office Kidd & Co. LLC has formed Logistyx Technologies through the combination of three logistics software providers. The new company plans to compete as a global player in the multi-carrier shipping software sector.
Logistyx offers software technology, support services and analytics capabilities for clients to manage their transportation choices. The merger includes Advanced Distribution Solutions Inc., Agile Network and Pantechnik International. Logistyx brings together complementary businesses that represent a total of 5,000 carrier relationships and more than two billion annual shipments.
“Shipping industry dynamics are changing dramatically, driven by the growth of e-commerce and the trend toward distributed warehousing (and eventually manufacturing),” states Logistyx CEO Kevin Cox. “Logistyx has now hit the ground running, instantly able to better serve its customers with the software, services, and analytics to enable transportation choice for customers and more visibility to timely information.”
Kidd & Co., based in Old Greenwich, Connecticut, was founded in 1976 by William Kidd when he made his first private equity investment. The firm targets business with up to $10 million in Ebitda. In January 2016, the firm acquired Colerain RV, a dealership operator selling recreational vehicles. Dealmakers are noticing that family offices are on the rise, as they have found it easier to direct with their investments. For more on family offices, see Pritzker Group and Other Wealthy Families Skip PE Firms to Invest Directly.
As the e-commerce market continues to grow at a steady pace, logistics and transportation companies have grown into attractive targets. Recent deals in the sector include: CI Capital’s acquisition of Simplified Logistics; Thomas H. Lee Partners L.P.’s deal to buy a controlling stake in Material Handling Systems Inc., a provider of packing system tools for the transportation industry; Ridgemont Equity Partners’ purchase of logistics company Worldwide Express from Quad-C Management; Graycliff Partners’ investment in “last mile” logistics provider Installs Inc.; American Fast Freight Inc.’s, backed by Jordan Co., acquisition of ocean freight provider Global Transportation Services Inc.; Bregal Sagemount’s investment in freight services company Internet Truckstop Group; and Revelstoke Capital-backed Transport Holdings LLC’s buying truck provider Jones Motor Group.