Okotoks-based Mullen Group has filed a letter of intent to take over Richmond B.C. based ContainerWorld Forwarding Services.
Chair and Senior Executive Officer, Murray K. Mullen said in a statement released Wednesday January 17, it'll open great long-term opportunities for the company.
"The addition of ContainerWorld demonstrates our continued strategic focus of diversifying service offerings into verticals and markets that we consider as great long-term opportunities. Globally, alcoholic beverages is a trillion-dollar industry and here in Canada, it is a multi-billion dollar industry that is expected to grow as the Canadian population grows. ContainerWorld is a leading integrated logistics provider to international and domestic wine, beer and spirits producers that are looking for a safe and reliable customs bonded service provider in Canada. This acquisition further expands our operations in the provinces of British Columbia and Ontario, home to fifty percent of Canada's population, and will add over one million square feet of warehousing space to Mullen Group,"
It'll also expand Mullen Group's operations in B.C. and Ontario.
Mullen added that ContainerWorld founder Dennis Chrismas will continue in his current role and will oversee the business over the course of the transition of ContainerWorld from a private company to being part of a large public company.
The deal is expected to bring in $150 million in annualized revenue.
The purchase is scheduled to close in the second quarter of this year subject to regulatory approval and final closing conditions.