Transplace Acquires Parcel TMS Provider ScanData
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Transplace acquired parcel transportation management solutions provider ScanData Systems, the company announced June 2. Financial details were not released.
The Frisco, Texas-based logistics technology and services provider said the deal will help expand its logistics platform capability. Transplace CEO Frank McGuigan said the process began in the third quarter of last year.
“We were looking at third parties to support our current capabilities in parcel,” McGuigan told Transport Topics. “We are a build-or-buy type company, but what we knew for sure is that our current customers have a growing parcel need, and our current capabilities weren’t as good as they needed to be, especially as it related to multiprovider sourcing and optimization.”
We're thrilled to announce that Transplace has acquired #ScanData, a leader in #parcel transportation management solutions (#PTMS) >> https://t.co/JYNBT1Kqyy pic.twitter.com/YBW9zCorWS — transplace (@Transplace) June 3, 2020
ScanData’s services include parcel, e-commerce and direct-to-consumer integration for shippers. It specializes in supporting parcel shippers with high volumes and complex shipping rules. The services cover shipping and logistics needs across the parcel life cycle.
“We were looking at third parties that do that, and we came across this company,” McGuigan said. “It was one of those things where they were at the top of our list, and they were also at a certain stage in their life cycle where they needed a partner like Transplace to go to the next level. So it was a very natural and organic conversation that evolved into an acquisition.”
Transplace said the acquisition will help streamline and optimize carrier selection, booking, label printing, tracking, invoice reconciliation and business intelligence reporting. ScanData will be integrated into its transportation management system and broader logistics platform.
“ScanData will be part of the overall Transplace platform services business and software as a service business,” McGuigan said. “It will ultimately be Transplace Parcel Solutions within the Transplace platform. … In the near-term, it will be ScanData powered by Transplace or Transplace Parcel Solutions powered by ScanData.”
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He said his company owns the brand name, but it probably won’t carry it past 2021. He also said the company is of the mindset to keep building out its services or acquire other businesses.
“We’re going to continue to look at other modes,” McGuigan said. “We have complete comprehensive modal capabilities already, but it’s all about constantly improving the platform. So, no, we are never going to be satisfied because we’re always going to be in this improvement and upgrade cycle like any good platform company should be.”
The ScanData acquisition is Transplace’s 10th, and other deals may be in the works.
“We’re not going to stop no matter what marketplace we’re in,” McGuigan said,
Most recently, Transplace acquired cloud-based platform and community Lanehub on Jan. 14. The company encourages shipper-carrier collaboration by automatically identifying and connecting companies with complementary freight lanes to save on shipping expenses.
Transplace ranks No. 44 on the Transport Topics Top 50 list of the largest logistics companies in North America.
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