BG Strategic Advisors - 2005 In Review: Selected Highlights
2005 was a record year for BG Strategic Advisors. The firm more than doubled for the fourth year in a row. BG Strategic Advisors worked on such major transactions as the sale of Unicity to PBB Global Logistics, the purchase of Trans-Link by PWC Logistics, the purchase of TransOceanic by PWC Logistics, the purchase of GeoLogistics by PWC Logistics, and various others. As a result, the firm has been expanding rapidly, and is now ideally-positioned for another year of strong growth.
February: Bg Strategic Advisors Announces The Closing Of The Sale Of Unicity To Pbb Global Logistics
In February, BG Strategic Advisors announced that Unicity Integrated Logistics, Inc. ("UIL") and Unicity Customs Brokerage, Inc. ("UCB"), referred to jointly as "Unicity," were sold to PBB Global Logistics. The purchase price was $42 million plus an additional payment of up to $3 million. BG Strategic Advisors acted as the exclusive financial advisor to Unicity in this transaction.
UIL is a pioneer in creating and providing innovative strategies and systems that minimize supply chain costs by providing international clients seamless access to the Canadian market. UCS is one of the top 10 Customs Brokers in Canada. Unicity has approximately 250 employees in more than 10 locations across North America, including major operations in Montreal, Mississauga and Winnipeg.
The purchase will provide additional supply chain solution capabilities to PBB's existing logistics service offering through UIL's cross-border deconsolidation, consolidation and on forwarding capabilities. UCS strengthens PBB's customs presence in Western Canada, and augments PBB's existing trade and regulatory service offering.
The transaction will enhance PBB's leading market position in supplying cross-border supply chain solutions for its customers in Canada, United States and Mexico, and further diversifies PBB's mix of services and customers. Including Unicity, PBB will employ approximately 1,350 people in 90 locations located at border crossings and air / sea locations across North America and China. On a combined basis, pro forma gross revenue, pro forma net revenue and pro forma normalized EBITDA, were approximately $450 million, $132 million and $25.4 million, respectively for the 12-month period ending September 30, 2004 (these pro forma results include the financial results of Clarke Logistics, acquired in July 2004, for the entire twelve month period). Estimated combined normalized EBITDA does not take any potential cost synergies into account.
March: Bg Strategic Advisors Announces The Closing Of The Purchase Of Trans-Link By Pwc Logistics
In March, BG Strategic Advisors announced that PWC Logistics, the leading provider of comprehensive supply chain solutions in the Middle East, has acquired the Asian-based Trans-Link Group, a leading specialized logistics services provider. This acquisition creates one of the world's largest logistics services providers, giving PWC direct access to Asia's vast markets and Trans-Link entry to the vibrant Middle East region. BG Strategic Advisors acted as the exclusive financial advisor to PWC Logistics in this transaction.
"Trans-Link's management team has developed a company culture focused on exceeding customer expectations in a very demanding business segment," commented Tarek Sultan, Chairman of PWC Logistics. He continued, "Their passion for delivering excellence mirrors our customer-centric approach. We look forward to being able to provide expanded services in new geographies to our combined customer base."
The combined strengths and best practices of PWC and Trans-Link, along with the financial resources of PWC, will bolster their growth throughout Asia and the rest of the world. Trans-Link's customers will benefit from PWC's strong market presence and expertise in the Middle East while PWC's customers will have greater access to Asia and the Pacific Rim countries as well as an expanded range of services.
Bernard Chow, Executive Chairman of Trans-Link Group, said, "Today's announcement is a defining moment for all of us. This is a winning transaction which will provide a very strategic advantage: By integrating the skills from both sides and leveraging each other's expertise and competitive capabilities, we will be able to provide enhanced operational excellence and leading-edge technology to our international and diverse customer base."
April: Bg Strategic Advisors Announces The Closing Of The Purchase Of Transoceanic By Pwc Logistics
In April, BG Strategic Advisors announced that its client PWC Logistics, the leading provider of end-to-end supply chain solutions in the Middle East, has acquired US-based Transoceanic Shipping Co, a leading international freight forwarding and logistics management company. BG Strategic Advisors acted as the exclusive financial advisor to PWC Logistics in this transaction.
This union forms one of the world's largest specialized logistics management providers, with offices in twenty-eight countries spread across the globe. Transoceanic will gain access to the resources needed to continue its rapid growth, including PWC's strong IT platform. Transoceanic will also be able to leverage PWC's infrastructure in the Middle East, Africa and Asia to offer its customers an expanded range of supply chain services.
As the Middle East, Asia, and Africa continue their tremendous growth surge in the oil and gas (both upstream and downstream); industrial; and power verticals, the combination of PWC Logistics and Transoceanic provides the comprehensive logistics solutions these industries need to keep pace with the rapidly changing market conditions. With the skill set and the technical expertise of Transoceanic, PWC will be able to better serve its customer base in future projects.
"Transoceanic built its outstanding reputation by focusing on execution and exceeding customer expectations," commented Tarek Sultan, Chairman of PWC Logistics. He continued, "We look forward to working with them and providing our combined customer base an expanded service offering."
Gregory Rusovich, CEO of Transoceanic said, "We are proud to join PWC, a clear market leader. This transaction presents the entire Transoceanic team an opportunity to grow the company to new heights." He continued, "This transaction also provides our customers with an enhanced global reach, scale and range of services."