Through a network of customs and sufferance bonded warehouses, ContainerWorld provides inventory management, freight forwarding, warehousing, and distribution services to international and domestic customers in the provinces of British Columbia and Ontario Mullen Group…

Through a network of customs and sufferance bonded warehouses, ContainerWorld provides inventory management, freight forwarding, warehousing, and distribution services to international and domestic customers in the provinces of British Columbia and Ontario

Mullen Group Ltd. announced that it has entered into a letter of intent (LOI) to acquire Richmond, British Columbia-based ContainerWorld Forwarding Services Inc. and its operating subsidiaries (ContainerWorld). The LOI contemplates standard due diligence and the execution of a purchase and sale agreement, both of which have been initiated. The transaction is scheduled to close in the second quarter of 2024, subject to regulatory approval and final closing conditions.

ContainerWorld is a Canadian logistics company that offers integrated supply chain solutions to the alcoholic beverage and hospitality industries. Through a network of customs and sufferance bonded warehouses, ContainerWorld provides inventory management, freight forwarding, warehousing, and distribution services to international and domestic customers in the provinces of British Columbia and Ontario.

ContainerWorld will operate within Mullen Group’s Logistics & Warehousing segment (L&W segment) and it is expected to generate annualised revenue of approximately $150.0 million. We expect operating income before depreciation and amortisation (OIBDA) margins to be consistent with the L&W segment, once we have implemented our disciplined business practices, process improvements and technology. Mullen Group will be funding the transaction from its existing credit lines.