Air cargo contractor Forward Air has acquired Total Quality Inc., a security and temperature-controlled services provider, for $66 million.
TQI offers a range of services for pharmaceutical shippers and also works in the truckload and less-than-truckload brokerage arena.
According to Forward Air's president and chief executive officer, Bruce Campbell, the company had been searching for an acquisition for quite some time, never finding the right fit. In TQI, the company found a partner with strong margins and returns —TQI turned in 2012 revenues of $54.8 million — low-asset intensity and minimal existing customer channel conflicts.
Forward Air will add TQI's services to its airport-to-airport, TLX full truckload, complete pick-up and delivery, and final-mile services.
"This is a necessary and logical next step for TQI," Terry Fewless, TQI's president, said in a statement. "Forward Air will be able to provide us with the perfect mix of resources, structure and industry expertise necessary to capture our growth potential.” - Jon Ross