GlobalTranz announces acquisition of Circle 8 Logistics

Scottsdale, Ariz.-based GlobalTranz, a full-service 3PL focused on freight brokerage and technology, remains active on the acquisition front, with the company announcing this week it has brought Chicago-based Circle 8 Logistics into the fold.

Financial terms of the deal were not disclosed.

Circle 8 Logistics is provider third-party logistics (3PL) multimodal transportation and logistics services.

This marks the ninth acquisition made by GlobalTranz going back to 2017. In January, it acquired Our Freight Guy, a Riverside California-based freight brokerage and logistics company, and in October 2018, it completed its acquisition of Chicago-based freight brokerage AFN Logistics. GlobalTranz said that with Circle 8 Logistics now part of AFN, this deal shows to the company’s growing presence in the Chicago area, coupled with its locations in Niles, Lombard, and downtown Chicago.

GlobalTranz CEO Renee Krug told LM that the company’s growth strategy combines aggressive organic growth with acquisitions that add scale, new modes and services, technology, and talented people to the organization.

“When the opportunity arose to acquire Circle 8, we moved quickly because we recognized the complementary value they will bring to the GlobalTranz organization, our customers, and carriers,” said Krug.

When asked about the biggest benefits of this deal for customers of GlobalTranz, Krug said that Circle 8 has distinguished itself as a 3PL that delivers impactful, unique solutions for customers and build strong carrier partnerships.

“The Circle 8 team has built strong customer relationships, and our number one priority is ensuring that those customers continue to receive the exceptional service they expect and that they benefit from access to GlobalTranz’s technology, extensive carrier base, and expanded modes and services,” she explained. “From the GlobalTranz point of view, we believe that our current customers will benefit from Circle 8’s strong carrier partnerships, access to additional high-quality capacity, and proven multimodal expertise.” 

In terms of what made Circle 8 stand out from other acquisition possibilities, Krug said there are a host of characteristics GlobalTranz looks for in an acquisition target, including: a strong leadership team, operational excellence, a track record of growth and performance, and talented team members.  Another factor, she cited, is the right culture fit, and in Circle 8, she said GlobalTranz we found an organization that it believes is aligned with its values and will integrate easily with the GlobalTranz team.  

As for the benefits of this deal from a GlobalTranz perspective, Krug pointed to several strategic advantages.

“Circle 8 has a strong leadership team, a track record of growth and performance, talented team members, and a winning culture,” she said. “The acquisition further solidifies GlobalTranz’s presence in Chicago, which is and always has been a major transportation and logistics hub. Circle 8 also bolsters GlobalTranz’s multimodal offerings, with proven expertise in truckload, flatbed, intermodal, temperature-controlled, and LTL. With the addition of Circle 8 to the GlobalTranz team, we are continuing our momentum and accelerating our leadership position in the marketplace.” 

Equity partner change: In a separate announcement this week, GlobalTranz said that it has selected funds advised by Providence Equity Partners L.L.C. and its affiliates as its new equity partner, adding that Providence inked a new equity agreement to acquire 100% of GlobalTranz from The Jordan Company. This transaction is expected to close in the next 60 days.