OTS Logistics Group acquires Box Consolidators
Acquisition of leading UK based NVOCC is continuation of growth strategy for the OTS Logistics Group, a global provider of logistics and ocean freight services, and comes after the group announced a major acquisition in China in May this year.
Rainham, UK. (January 4, 2006) – OTS Logistics Group, a major provider of international logistics services including ocean freight consolidation and shipping agency services worldwide, announced that it has acquired Box Consolidators in the UK, a leading NVOCC based in Manchester with an office in Lichfield. The group is currently represented by Vanguard Logistics in the United Kingdom.
"Our strategy is to substantially grow our volumes in every major market in the world either through acquisition or through fast tracking an aggressive expansion”, Mr. Owen Glenn, Chairman of OTS Logistics Group said in announcing the purchase. “After we acquired a business in China earlier this year which doubled our global volumes and gave us presence in 12 offices in that rapidly growing economy”, Mr Glenn continued, “we decided to start our European growth plans by acquiring a partner that we have quickly become comfortable with in an agency arrangement. We are only ever interested in a strong player in any market and Box is clearly dominant in their market sector."
"The United Kingdom represents a renewed interest in Europe for our group”, Mr Owen Glenn elaborated. “At the start of this year, in addition to China, we identified Europe and some key South American regions as markets that we needed to build out. If we are unable to locate suitable acquisitions, we have backup plans to aggressively expand our own brands and offices in those countries. What we are after is a seamless service offering that gives us economies of scale in the major markets and by seamless I mean fewer handovers – primarily of information. Our customers tell us that they want integrity of information. We intend to provide that and the best way to assure that is to have the origin data in the same system as the destination data"
Box operates receiving locations in West London, East London, Manchester, Birmingham, Leeds, Bristol, Newcastle & Glasgow. “The UK wide presence was extremely attractive to us”, said Michael Sinclair, CEO for the European region. “The two companies combined will provide unprecedented coverage in the UK / USA trade route. Box is the leading consolidator to the USA with over 2,500 cbm per month in that trade route. In order to provide a regular and reliable service, we have to grow and maintain cargo loads and the Box acquisition gives us regular steady volumes on which to continue building our global platform. The principals of Box have spent over 20 years in the industry building a business from the ground up. That kind of expertise is hard to find and we look forward to their bringing this entrepreneurial energy into the group"
Dave Matthews, Director of Box Consolidators, also sees promise for Box in the deal saying, “The joining of Box Consolidators to the OTS Logistics Group allows Box to continue its pursuit to become the leading global consolidator in the UK"
Besides exports out of the UK, Box operates an agency network in China, Taiwan, Malaysia, Singapore, Thailand, Canada and Brazil, making the company a leader for import freight into the UK. “An added strength for Box Consolidators is its unparalleled overseas network of agents,” said Mike Madden, director of Box. “We are able to provide unmatched, regularly scheduled services for imports into the UK that our customers can count on
From Left to right, Dave Matthews, Ryan Murphy and Mike Madden
Box intends to announce twice weekly sailings to strategic ports in January and as a result of joining the OTS Logistics Group a new weekly move from the North of England to Ashdod and Haifa, expanding services into Israel.
Although Box Consolidators will continue to provide excellent customer support services to its customer base and global agency network, the freight export consolidation functions and freight import receiving and distribution functions, including customer billing and collections, will be carried out by Vanguard Logistics Services. The latter company is a neutral warehouse and agency company owned by OTS Logistics Group in the U.K.
"Vanguard’s strengths are in the back office and agency management of NVOCC brands and we intend to bring those strengths to bear for Box”, Mr Ryan Murphy, General Manager for Vanguard said. “Our focus will be to bring technology, sales practices including sales force automation and back office systems into place that allow for a superior customer experience for Box’s customers. To start with, Box will increase its sales force in order to be represented by three sales people in the South, two in the Midlands and one in the North."
About OTS Logistics Group
OTS Logistics Group is a major provider of international logistics services including ocean freight consolidation and shipping agency services. The company operates globally and offers shipping and agency services through a number of brand names including AFS, Brennan International Transport, Conterm Consolidation Services, Direct Container Line, Export Freight Services, GPS, Vanguard Logistics Services and now Box Consolidators. The OTS Logistics Group operates 177 offices and agencies worldwide in over 105 countries.
About Vanguard Logistics Services
In the USA, Vanguard Logistics is a neutral CFS (Container Freight Station) warehouse operator and outside the USA, a member of the OTS Logistics Group, acting as the group’s arm for NVOCC brand and agency management. For further information visit www.vanguardlogistics.com
About Box Consolidators Ltd
Box Consolidators Ltd is a leading consolidator of ocean freight in the UK and operates a nationwide service linked by receiving depots based in West London, East London, Manchester, Birmingham, Leeds, Bristol, Newcastle& Glasgow. The company started in 1978 and has become a leading consolidator of ocean freight from the UK to the USA and from the Far East. For further information visit www.boxconsolidators.co.uk
