Groendyke Transport Announces Largest Acquisition in Company History
ENID, Okla., Oct. 25, 2018 /PRNewswire/ -- Groendyke Transport, Inc. and McKenzie Tank Lines, Inc. (MTL) signed a purchase agreement late Wednesday for Groendyke to acquire all the tank truck assets of MTL. The companies anticipate a closing date of Jan. 1, 2019.
The acquisition will increase Groendyke's terminal count from 30 to more than 40 and will increase the company's driver count by about 200 to approximately 1,150, while significantly expanding its presence in the Southeast. The addition of MTL's business is expected to increase Groendyke's revenues by more than $40 million in 2019 to approximately $280 million.
"It has been our long-time goal to expand our operations in the Southeast," said Greg Hodgen, Groendyke president. "Our two companies have so much in common – from history to culture and values to emphasis on safety– this deal made perfect sense. We believe their people will make a great fit with our culture and way of running our business. We are excited to have them as Groendyke Transport employees."
Both companies are tank truck carriers that specialize in hauling petroleum products, chemicals and other bulk hazardous materials.
Once the transition is complete, Groendyke will have terminals reaching as far west as Arizona all the way to the East Coast. It will give the company terminals in 15 states, adding Alabama, Florida, South Carolina and North Carolina.
"We have a vision to be the trucking company our customers and employees want to grow with," Hodgen said. "Expanding to the Southeast helps us fulfill that vision and expand our ability to serve existing and new customers. And this acquisition helps us do so in a way that is consistent with our values, especially when it comes to integrity, respect for people and safety."
Groendyke is the only seven-time winner (most recently in 2017, for 2016) of National Tank Truck Carriers North American Safety Champion Award, given each year to the carrier with the best overall safety record and program. MTL is also a trendsetter in the safety arena, as one of the first adopters of collision mitigation systems and blind-spot detection systems, and as a participant in a public-private partnership in the early 2000s designed to accelerate the development of such technology.
"Our two family-owned companies have long histories and rich traditions in the tank truck industry," MTL CEO Jim Shaeffer said. "Moreover, our companies share a tremendous commitment to our people that includes their safety and well-being. We believe this change will ensure stability for our employees and create tremendous opportunities for them."
About Groendyke Transport, Inc.:
Groendyke Transport, Inc., established in 1932, provides superior, dependable transportation services and bulk logistics solutions that consistently deliver value to leading companies that place a premium on safety and performance. Groendyke Transport is a privately held, family-owned company and a seven-time Heil Trophy winner for best overall safety record and program in the country.
About McKenzie Tank Lines, Inc.
Established in 1944, McKenzie Tank Lines, Inc. has grown from two tank trailers hauling petroleum products to a large, diversified fleet with 14 terminals in six states. Employing about 200 drivers, the MTL team embodies the company's reputation for reliability, service, safety and integrity.
Groendyke Transport Contact
Matt Palmer
[email protected]
580-213-9282
SOURCE Groendyke Transport, Inc.
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