The “booming” final-mile segment continues to experience significant mergers and acquisitions as many transportation providers look to complement their service offerings with in-home delivery.
Transportation provider Atlas World Group announced that its subsidiary, Atlas Logistics, has acquired retail home delivery company TopHAT Logistical Solutions.
Headquartered in Evansville, Indiana, Atlas is best known for its flagship unit, Atlas Van Lines, the second-largest van line or moving company in the U.S. Atlas Van Lines operates an agent-based model with 430 company agents owning and operating the trucks, trailers and warehouses needed for moving and storing household goods.
According to a press release, Lake Geneva, Wisconsin-based TopHAT Logistical Solutions is a $50 million business specializing in retail home, or last-mile, delivery.
Terms of the transaction were not disclosed.
“Atlas is gaining a home delivery network that immediately strengthens our portfolio. TopHAT presents a competitive and scalable solution for ecommerce that is both complementary to our existing suite of products and is immediately accretive to Atlas World Group’s performance around the world,” Atlas World Group Chairman and CEO Jack Griffin said.
The press release stated that the acquisition provides Atlas with a “home delivery network that will allow for expanded services and the ability to capitalize on a booming market.” It cited data provider Statista Inc.’s forecast for the last-mile delivery market to grow to nearly $51 billion in 2022, $20 billion higher than the industry reported in 2018.
Atlas also believes its agency network will be able to sell its warehousing, final-mile delivery and labor services to TopHAT.
TopHAT offers nationwide coverage to all 48 contiguous states with its uniformed delivery teams delivering big and bulky items like appliances and furniture. The company’s customer list includes Sears, TNT Logistics, Cory 1st Choice Home Delivery, Bloomingdales and Macy’s, as well as many furniture retailers like The RoomPlace and Ashley Furniture.
The TopHAT brand and leadership team will remain intact.
“This vital acquisition will allow Atlas Logistics to expand its service offering. TopHAT’s expertise in the home delivery and final-mile market is another piece of the puzzle that fits strategically within our portfolio of services,” said Atlas Logistics President and Chief Operations Officer Phil Wahl.
Atlas Logistics is a commercial logistics supplier providing supply chain, transportation, warehouse and project management services, as well as freight brokerage, padded-van transportation and specialized transportation services through its asset-based fleet and network of third-party partnerships.
