Mullen Group Ltd. Announces Acquisitions of Trucking/Logistics Companies Based in the Lower Mainland of British Columbia
OKOTOKS, AB, July 2, 2019 /PRNewswire/ - (TSX:MTL) Mullen Group Ltd. ("Mullen Group", "We", "Our" and/or the "Corporation") announced today that it has acquired Argus Carriers Ltd. ("Argus") and Inter-Urban Delivery Service Ltd. ("Inter-Urban") both of which provide transportation and logistics services in the Lower Mainland of Vancouver, British Columbia. The transactions closed on July 1, 2019.
Argus, a well-established company founded in 1948, has approximately 95 employees and dedicated owner operators and operates a fleet of 57 trucks and 46 trailers providing general freight services including: local pick-up and delivery, warehousing, regional less-than-truckload ("LTL"), dedicated and linehaul trucking from four British Columbia operating terminals - Burnaby, Kelowna, Victoria, and Nanaimo. In addition, Argus provides daily LTL service to the Pacific Northwest of the United States.
Inter-Urban, also a well-established company founded in 1974, has approximately 70 employees and dedicated owner operators and operates 43 trucks and 26 trailers focusing on critical same day delivery service for the healthcare sector including: cross border linehaul, cross-border LTL cartage, dedicated and local pick-up and delivery. Inter-Urban operates from one terminal based in Abbotsford, British Columbia.
The acquisitions of Argus and Inter-Urban align with Mullen Group's strategy of acquiring transportation and logistics companies that have a strong regional LTL presence centrally located to serve consumers in large urban centres. Collectively these two business units have generated approximately $25.0 million in annual revenue and OIBDA margins generally in line with our current Trucking/Logistics segment results.
"I am extremely pleased that Argus and Inter-Urban will now be part of our organization. They are another perfect example of the type of investments we make on behalf of our shareholders – profitable, well managed with a strong regional presence. These businesses have a long standing history of providing a quality trucking/logistics service in the Province of British Columbia, a tradition we intend to continue to build upon. I would also like to thank Jamil Murji and the ownership group for entrusting the future of these businesses to Mullen Group. We intend to further invest in both companies to capitalize on new opportunities," commented Mr. Murray K. Mullen, Chairman and Chief Executive Officer.
About Mullen Group Ltd.
Mullen Group is a company that owns a network of independently operated businesses. The Corporation is recognized as one of the leading suppliers of trucking and logistics services in Canada and provides a wide range of specialized transportation and related services to the oil and natural gas industry in western Canada - two sectors of the economy in which Mullen Group has strong business relationships and industry leadership. The corporate office provides the capital and financial expertise, legal support, technology and systems support, shared services and strategic planning to its independent businesses.
Mullen Group is a publicly traded corporation listed on the Toronto Stock Exchange under the symbol "MTL". Additional information is available on our website at www.mullen-group.com or on SEDAR at www.sedar.com.
Disclaimer
This news release may contain forward-looking statements that are subject to risk factors associated with the oil and natural gas business and the overall economy. Mullen Group believes that the expectations reflected in this news release are reasonable, but results may be affected by a variety of variables. The forward-looking information contained herein is made as of the date of this news release and Mullen Group disclaims any intent or obligation to update publicly any such forward-looking information, whether as a result of new information, future events or results or otherwise, other than as required by applicable Canadian securities laws. Mullen Group relies on litigation protection for "forward-looking" statements.
Contact Information
Mr. Murray K. Mullen - Chairman of the Board, Chief Executive Officer and President
Mr. P. Stephen Clark - Chief Financial Officer
Mr. Richard J. Maloney - Senior Vice President
121A - 31 Southridge Drive
Okotoks, Alberta, Canada T1S 2N3
Telephone: 403-995-5200
Fax: 403-995-5296
SOURCE Mullen Group Ltd.
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