Ryder System announced Monday it will acquire Pit Stop Fleet Service for an undisclosed sum. The Miami-based fleet management and supply chain services company said the deal will boost its growing mobile repair business, Torque by Ryder.
Founded in 1997, Venice, Florida-based Pit Stop provides mobile fleet services in eight states across the Southeastern U.S. It specializes in preventative maintenance, repairs and breakdown assistance.
The acquisition is expected to close on Aug. 1, adding approximately $24 million in annual gross revenue beginning next year. The deal will be accretive to Ryder’s earnings. No other financial terms were disclosed.
Ryder (NYSE: R) generated nearly $12 billion in revenue last year.
“With our complementary retail mobile maintenance fleet services across diverse industries and markets, we now have even greater economies of scale and offer unparalleled flexibility for fleets requiring swift maintenance services,” said Tom Havens, president of Fleet Management Solutions at Ryder, in a news release.
Ryder plans to fully integrate Pit Stop’s operations and employees into its Torque offering. Pit Stop co-founders Ron and Connie Perry will provide support during the transition.
“In thinking about the future, I wanted to make sure our employees are in a company that will give them ample opportunities to grow, and our customers are in the best possible hands. I believe Ryder is the ideal home for both,” said Ron Perry.
Ryder’s latest deal expands Torque’s coverage map to include 140 markets in 20 states. It now has approximately 200 technicians working on commercial trucks, trailers and vans. The group also services vocational vehicles, passenger buses and emergency response units.