PWC Logistics, a global provider of end-to-end supply chain solutions, and GeoLogistics Corporation, an international freight forwarder and logistics services provider, have jointly announced that they have entered into a definitive agreement under which PWC Logistics will acquire GeoLogistics.

PWC Logistics will acquire the privately held GeoLogistics from its principal shareholders, including lead investor Questor Partners Fund II, LP, for approximately $454 million on a debt-free basis, PWC said in a statement.  GeoLogistics’ senior management team will remain in place under PWC Logistics’ ownership and no material organisational changes are expected as a result of the acquisition.   The combined group will generate revenues in excess of $3 billion with over 10,000 employees in more than 100 countries worldwide.
Tarek Sultan, chairman of PWC Logistics, commented: “We are very pleased to have signed this acquisition agreement.  GeoLogistics is a recognised leader in global freight forwarding with a significant presence in key Asian, European and Americas markets.” Sultan said GeoLogistics’ global presence and experienced management team would strengthen PWC Logistics’ existing capabilities and greatly expand both the scope and range of PWC’s investment opportunities and service offerings, including its ability to deliver integrated and specialised logistics solutions globally. 
“Freight forwarding is a service that will continue to grow at impressive rates and one where strong market participants will continue to distance themselves from their midsize competitors.  GeoLogistics will significantly increase PWC Logistics’ global forwarding capabilities, especially within, to, and from the Middle East,” he said.
Bill Flynn, president and chief executive of GeoLogistics, said: “We’re excited about becoming part of the PWC Logistics organisation because of the terrific fit and the growth opportunities of the combined companies.   Over the past year, we’ve explored several options, including a public offering.   However, it is clear that merging with PWC Logistics is by far the best strategic approach for our company.   And now, with PWC Logistics’ world-class contract logistics capabilities and access to attractive Middle Eastern markets, we are poised to provide our customers with ever-increasing levels and breadth of service.”
GeoLogistics engaged Citigroup and Bear Stearns as financial advisors and Drinker Biddle & Reath LLP as legal advisor.  Banc of America Securities and Shearman & Sterling LLP advised PWC Logistics on the transaction.
PWC Logistics’ customers span a wide range of industries, including apparel and footwear; automotive; consumer and industrial electronics; consumer packaged goods; engineering and construction; exhibits and entertainment; food and grocery; governmental and military organisations; and oil and petrochemicals.
PWC Logistics is traded on the Kuwait Stock Exchange. 
GeoLogistics Corporation is a global leader in non-asset based logistics, with an extensive network of operations in nearly 100 countries around the world.   The company offers its customers a broad range of freight management and customised solutions backed by a single, company-wide IT system.  In another development PWC Logistics, announced that the Defence Supply Centre Philadelphia (DSCP) had, for the second consecutive year, recognised it for “outstanding customer service”. 
PWC received this recognition for its performance in the Subsistence Prime Vendor programme through which it provides food and non-food products to the US Army, Navy, Marines, and Air Force operating in the regions of Kuwait, Qatar, and Iraq.   The award ceremony was held in Atlantic City, New Jersey, USA.
Toby Switzer, PWC Logistics’ General Manager - Prime Vendor, commented, “It’s very gratifying to receive this award for the second year in a row.   All of our employees work extremely hard to meet the stringent requirements of the US Military.”   He continued: “When designing our solutions, customer service is always our primary focus.   Since first winning this award last year, our continuous improvement programme has produced further process and systems enhancements, including a state-of-the-art real-time vehicle and cargo tracking system, which significantly increased our service levels.”