FEATURED INVESTMENT
Fusion Transport
Sector: Industrial Technology
Sub-sector: Logistics
Acquisition year: 2019
Type: Control buyout
Location: Rutherford, NJ
Investment summary
Fusion Transport was formed in 2019 through the acquisitions and subsequent merger of GTLi and AmTrans Expedite. The vision for Fusion is to build a next generation, asset-lite LTL (‘less than truckload’) consolidation network. Today, Fusion goes to market with its retail consolidation offering that provides a compelling warehousing and transportation solution to consumer packaged goods companies moving product into the country’s largest big box retailers and grocers. The company also offers a variety of other brokered transportation solutions.
Why we partnered
To back a superior cost and service solution – relative to the incumbent LTL model – in a $60B market
To benefit from network effects as regional hub freight density increases and, in turn, superior service levels at a better price can be offered to customers
To participate in the continued fragmentation of the consumer packaged goods market and a shift in mentality as brands become increasingly reliant on third-party logistics providers
The recurring revenue model tied to retail replenishment cycles
The defensiveness of the business model inherent in the customer base and asset-lite transportation model