Private Equity Firms Invest in RPM Freight Systems
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RPM Freight Systems is to receive backing from private equity firms Trive Capital and Bluejay Capital Partners, the investors said in a news release.
Trive and Bluejay will now own a majority stake in the freight brokerage, which specializes in logistics for the automotive industry, an RPM spokesman said in an email June 17.
RPM ranks No. 94 on the Transport Topics Top 100 list of the largest logistics companies in North America. It also ranks No. 49 on the freight brokerages sector list.
Royal Oak, Mich.-based RPM plans to use the funds to expand its operations. The size of the June 1 investment is not being disclosed, the spokesman said.
Spilman
“As we enter our next phase of growth, we are delighted to partner with Trive and Bluejay and leverage their significant operational and industry expertise,” RPM founder and CEO Barry Spilman said.
“The support and resources of these two firms should accelerate our growth trajectory by enhancing our service capabilities and unlocking new opportunities in North America and Europe,” Spilman said.
Founded in 2011, RPM transports more than 600,000 vehicles a year for original equipment manufacturers, dealerships, financial institutions, auctions and other specialized freight markets in North America and Europe. RPM posted gross revenue of $480 million in 2023, according to company data supplied to Transport Topics.
RPM plans to use the private equity backing to bolster its technology platforms and increase its head count, the spokesman added.
In May, RPM announced a partnership with MBSi, a repossession assignment management software specialist that RPM expects to aid its post-recovery transport services for lenders, agencies and forwarders.
RPM’s growth plans also include consumer vehicle transportation. In November, the company launched a direct-to-consumer auto transportation service. RPM Moves allows private individuals to get a quote, book their vehicle’s transportation, and pay for shipment anywhere within the continental United States. The service is targeting customers looking to relocate for a new job or home in particular.
Frank
The growth opportunities and expected consolidation of the auto hauling sector are what attracted RPM’s new investors.
“Partnering with RPM is an incredible opportunity. We are eager to take part in RPM’s journey of ongoing growth, and we are confident in its ability to seize emerging opportunities within the automotive and specialty freight transportation markets,” Bluejay Managing Partner Pierre Mathieu said.
“We are thrilled to partner with the talented team at RPM, who have built a business that delivers a win-win for both shippers and carriers. The company will continue to pursue excellence in logistics with its flexible, customer-centric service model, and Trive looks forward to investing in the platform to support its continued growth,” added Trive Managing Director Andrew Frank.
Spilman will remain a shareholder in RPM, the spokesman said.
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