Kenan Advantage Group said it reached an agreement to purchase bulk hauler Transport Service Co. for an undisclosed sum.
Under the deal, which is expected to close this week, KAG will be able to expand its chemical freight services and enter the bulk transport of foodstuffs for the first time.
KAG, which operates a group of bulk petroleum transport companies, is ranked No. 46 on the Transport Topics 100 list of the largest for-hire carriers in the United States and Canada.
Dennis Nash, KAG’s chief executive officer, said in a statement that Transport Service “provides us with a stand-alone platform to further expand our current chemical transportation operations, while providing a tremendous opportunity to grow the food-grade products line.”
Transport Service had revenue of $130 million in 2007, KAG said. Once the deal is completed, KAG’s fleet will consist of 3,100 tractors and 4,100 trailers.
Kenan Advantage Group also provides specialized supply chain logistics services through KAG Logistics and KAG Ethanol Logistics.
By Transport Topics
Staff Reporter Frederick Kiel contributed to this story.
