Transportation and supply chain solutions company Ryder System, Inc. has agreed to acquire IFS Holdings, LLC, also known as Impact Fulfillment Services (IFS), the company said today. Terms of the deal were not disclosed.
IFS specializes in contract packaging, contract manufacturing, and warehousing for some of the largest consumer brands in the United States, primarily in the consumer packaged goods (CPG), retail, and healthcare industries. As part of the transaction, Ryder will acquire 15 operations across Florida, Georgia, Illinois, North Carolina, Ohio, Pennsylvania, Texas, Utah, and California, the company said.
The acquisition is expected to add about $250 million in annual total revenue to Ryder’s supply chain solutions business segment. The deal is expected to close next month.
“The acquisition of IFS supports our strategy to accelerate growth in our supply chain business, providing Ryder with new capabilities that are complementary to our existing suite of services,” Steve Sensing, president of supply chain solutions for Ryder, said in a press release announcing the agreement. “Initially, the co-packaging and co-manufacturing services will roll into our CPG vertical; however, we see considerable opportunity to leverage these new capabilities across other industry verticals.”
Ryder said it will integrate the IFS facilities and operations into its supply chain solutions business, including nine multi-client and six dedicated customer operations, totaling just under four million square feet. The company also said it plans to retain IFS’ workforce of approximately 1,000 full-time employees. President of IFS Rob LeBaron will join Ryder as vice president of contract manufacturing and packaging.