Mubadala Capital, the asset management subsidiary of Abu Dhabi’s sovereign fund Mubadala Investment Company, has entered into a definitive agreement to acquire the leading logistics platform Canada Cartage.
The transaction is subject to customary closing conditions, including receipt of Canadian regulatory approvals, and is expected to close in the next 60 days.
Mr. Jeff Lindsay, President and CEO of Canada Cartage stated that, “We are excited to partner with Mubadala Capital to help us to continue building a world-class transportation and logistics business.”
“Their team shares our vision of building an industry leader that focuses on innovative supply chain solutions, strong customer partnerships, and being a great place for people to work,” Mr. Lindsay added.
“We have built our private equity business by partnering with exceptional management teams that run great companies. Canada Cartage is a prime example of both, and one that operates in a sector where we have significant expertise, which is business services. We look forward to continuing to work with Canada Cartage’s management team, employees, and customers to build on the company’s strong legacy and support its next phase of growth.”
The company stated that Scotiabank is acting as exclusive financial advisor to Mubadala Capital and CIBC World Markets is acting as exclusive financial advisor to Canada Cartage.
“BMO Capital Markets, Bank of Nova Scotia, and RBC Capital Markets acted as Joint Bookrunners and Co-Lead Arrangers for the financing provided to Mubadala Capital,” according to the company statement.
Canada Cartage is a logistics platform that provides dedicated national fleet solutions, general freight services, managed transportation, fulfillment and distribution, and home delivery services to some of Canada’s largest blue-chip companies in the grocery, food, retail, and eCommerce sectors. The company currently operates through a network of 33 facilities across Canada and is comprised of two business segments, Dedicated Transportation and Logistics.