Canadian transportation company TFI International Inc. said Monday it has acquired Canadian LTL carrier Siemens Transportation Group (STG) and U.S.-based LTL provider Hot Line Freight Systems. Terms of the transactions were not disclosed.
Founded in 1962, most of STG’s operations are LTL, with a smaller portion of its business in truckload and flatbed. Based in Saskatoon, Saskatchewan, STG is a family-owned business generating about $111 million in revenues through 15 terminals — 11 in Canada and four in the U.S.
STG’s Doug Siemens will continue to manage the business as part of TFI’s LTL segment, reporting to Executive Vice President Chris Traikos. The transaction is subject to regulatory approval.
Founded in 1988, Hot Line is a specialized LTL provider based in Wisconsin. The company’s nearly 200 employees operate a network of 14 terminals (eight of which are owned), generating approximately $30 million in annual revenues.
Hot Line focuses on expedited one- to two-day LTL service across the Midwest as well as a nationwide over-the-road division concentrating on high-value and premium-priced white-glove freight. Paul Burgmeier will continue to manage the business as part of its LTL segment, reporting to TFI Executive Vice President Rick Hashie.
“We are pleased to be expanding our LTL footprint in both Canada and the U.S. with these two LTL acquisitions,” said Alain Bédard, chairman, president and chief executive officer of TFI International (NYSE, TSX: TFII). “STG’s impressive family-run approach has attracted a loyal customer base across diverse industries, and its compelling geographic presence and well-maintained equipment strategically complement our growing network.
“Hot Line is another highly attractive acquisition with well-run operations and a strong presence in the midwestern U.S. that will further bolster our LTL presence while allowing us to ramp its cross-border business,” Bédard said.
The moves are consistent with Bédard’s plans to fortify TFI through a series of small, tuck-in acquisitions during 2023.