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Houlihan Lokey Transportation and Logistics UpdateDear Clients and Friends,Houlihan Lokey is pleased to present its Transportation and Logistics Fall 2021 Industry Update.We have included important news stories, transaction announcements, a public markets overview,and industry insights to help you stay ahead in our dynamic and constantly evolving industry. Wehope you find this quarterly update to be informative and that it serves as a valuable resource to youin staying abreast of the market. If there is additional content you would find useful for future updates,please don’t hesitate to call or email us with your suggestions.We look forward to staying in touch with you.Regards,Kris HopkinsManaging DirectorHead of Transportation and LogisticsKHopkins@HL.comO: 212.497.7856M: 617.784.7934Phil Keffer, CFAVice PresidentTransportation and LogisticsPKeffer@HL.comO: 212.497.7851M: 973.224.3476Additional ContactsMatt GlaswandAssociateMGlaswand@HL.com212.497.4158Jason WeisbaumVice PresidentJWeisbaum@HL.com212.497.4265Harry WarnickFinancial AnalystHWarnick@HL.com212.497.7961Industry Subsectors CoveredAsset-Light/Third-Party t LeasingMarine Services andTransportationHelicopter Operatorsand Other AviationRail and Services2
Houlihan Lokey is the trusted advisor tomore top decision-makers than any otherindependent global investment bank.Houlihan Lokey is the trusted advisor to more topdecision makers than any other independent globalFinancial and Valuationbank.Corporate FinanceinvestmentAdvisoryFinancial Restructuring2020 M&A Advisory RankingsAll U.S. Transactions2020 Global Distressed Debt & BankruptcyRestructuring RankingsAdvisorDeals1Houlihan Lokey2102Goldman Sachs & Co1723JP Morgan1322001 to 2020 Global M&A FairnessAdvisory RankingsAdvisorDeals1Houlihan Lokey9562JP Morgan876503Duff & Phelps802Morgan Stanley599BofA Securities Inc542AdvisorDeals1Houlihan Lokey1062PJT Partners Inc633Lazard4Evercore Partners1264Rothschild & Co4645Morgan Stanley1235Moelis & Co395Source: Refinitiv (formerly known as Thomson Reuters)No. 1 U.S. M&A AdvisorRefinitiv (formerly known as Thomson Reuters). Announcedor completed transactions.Source: Refinitiv (formerly known as Thomson Reuters)No. 1 Global InvestmentBanking Restructuring AdvisorTop 5 Global M&A AdvisorLeading Capital Markets Advisor1,400 Transactions CompletedValued at More Than 3.0 Trillion CollectivelyNo. 1 Global M&A FairnessOpinion Advisor Over the Past 20Years1,000 Annual ValuationEngagementsSelected Transactionsa portfolio company ofhas been acquired byhas merged withhas been acquired byTerm Loan & Delayed Draw TermLoanDividend Recapitalization &Acquisition FinancingRefinancing & Growth FinancingRevolver & Term Loan 85,000,000Sellside AdvisorExclusive Placement Agenta subsidiary of:Series ASenior Secured Noteshas completed the sale of certainassets toGrowth CapitalSellside Advisorhas been acquired by affiliates ofSolus Alternative AssetManagement through an in-courtasset sale pursuant to Section 363of the Bankruptcy CodeRevolver& Term LoanExclusivePlacement Agenthas completed a restructuringthrough English schemes ofarrangement, a U.S. Chapter 15filing and Canadian CCAABuyside Advisorhas confirmed a Chapter 11 Plan ofReorganizationhas acquired 50,000,000Sellside AdvisorExclusive Financial Advisor & Placement AgentCompany AdvisorCreditor AdvisorBuyside AdvisorCompany Advisor3
Significant News StoriesSubject: Logistics DemandLogistics Operators Raise Pay, Enlist Robots to Meet Holiday DemandThe Wall Street JournalDate: September 26, 2021“Warehouse operators are throwing every tool they can at increasingly urgent efforts to hire seasonal workers as theybrace for an expected flood of holiday goods amid competition for scarce labor from deep-pocketed rivals. Logisticsproviders are boosting pay, adding flexibility to shifts, blanketing social media with recruitment ads and even shipping inmore robots to help workers field surging e-commerce volumes. They are also jockeying with titans like Amazon.comInc., Walmart Inc. and United Parcel Service Inc. that are dangling inducements, from signing bonuses to assistance withcollege tuition, as they push to bring on hundreds of thousands of workers ahead of the holidays. Workers to fill onlineorders and push merchandise out to stores are in short supply in a tight U.S. labor market in which service industries saythe lack of available staff is hampering their recovery efforts. Some warehouse employees say they are already workingovertime under sometimes tough conditions to meet heavy consumer demand.”Subject: Marine Transportation DemandWhy Container Ships Can’t Sail Around the California Ports BottleneckThe Wall Street JournalDate: September 21, 2021“There appears to be no sailing around the breathtaking backup of container ships off the jammed ports of Los Angelesand Long Beach. Newly arriving vessels are adding to a record-breaking flotilla waiting to unload cargo that on Sundayreached 73 ships, according to the Marine Exchange of Southern California, nearly double the number a month ago andexpanding a fleet that has become a stark sign of the disruptions and delays roiling global supply chains. Before thepandemic, it was unusual for more than one ship to wait for a berth. Big vessels are continuing to join the bottleneck,experts say, because shipping lines and their cargo customers have few options for resetting countless supply chainsmoving goods into the U.S. that have been constructed over decades around the critical San Pedro Bay gateway nowstaggered by the overflowing demand for imports.”Subject: Rail M&AKansas City Southern Picks Canadian Pacific’s 31 Billion Bid for RailroadCNBCDate: September 12, 2021“Kansas City Southern has decided that a 31 billion bid from Canadian Pacific is the best of two offers on the table tobuy the railroad. The Kansas City, Missouri, company said in a statement Sunday that it has notified rival bidderCanadian National that it intends to terminate a merger agreement and make a deal with Canadian Pacific. But it’s notfinal yet. Canadian National still has five business days to negotiate amendments to its offer, and the Kansas CitySouthern board could determine that a revised CN offer is better. In its own statement, Canadian National said it’sevaluating its options. ‘CN will make carefully considered decisions in the interests of all CN shareholders andstakeholders and in line with our strategic priorities,’ the railroad said. Under the Canadian Pacific offer, each share ofKansas City Southern common stock would be exchanged for 2.884 CP shares and 90 in cash. ‘We are pleased toreach this important milestone and again pursue this once-in-a-lifetime partnership,’ said Canadian Pacific President andCEO Keith Creel.”Subject: Logistics M&AEcho Global Logistics to Sell Itself to Private-Equity Firm in 1.3 Billion DealThe Wall Street JournalDate: September 10, 2021“Echo Global Logistics Inc. plans to sell itself to private-equity firm Jordan Co. LP in an approximately 1.3 billion dealthat would take private one of the largest freight brokers in a red-hot U.S. shipping market. The agreement would valueChicago-based Echo at 48.25 a share, representing a roughly 54% premium over its closing price Thursday, thecompanies said Friday. The deal is expected to close in the fourth quarter and is subject to shareholder approval. Echoand Jordan said the deal would provide Echo with additional financial resources and more flexibility to continue buildingits technology and data science platform. Freight brokerages have been investing billions to automate their businessesas digital startups jockey for a bigger share of the domestic transportation management sector.”4
Significant News Stories (cont.)Subject: Logistics M&AMaersk grows e-commerce fulfillment network with Visible Supply Chain Management dealSupply Chain DiveDate: August 6, 2021“Maersk is acquiring an e-commerce fulfillment company, Visible Supply Chain Management, which has a network ofnine fulfillment centers in the U.S., according to a Friday press release. The warehouse network is able to reach 75% ofland in the U.S. in 24 hours and 95% within 48 hours, according to the release. Maersk already has 46 warehouses in theU.S., a spokesperson said In addition to Visible Supply Chain Management, Maersk also announced it would acquireB2C Europe Holding B.V., a logistics company focused on parcel delivery services in Europe, provided the deal clearsregulators. B2C Europe ships 35 million parcels each year, according to a press release The acquisition of VisibleSupply Chain Management brings not only warehouses but existing business. It fulfills about 200,000 orders a day and200 million packages a year, according to the release.”Subject: Logistics M&AWorldwide Express and GlobalTranz Join ForcesBusiness WireDate: July 27, 2021“Ridgemont Equity Partners, a buyout and growth equity investor, today announced its investment in the combination ofWorldwide Express, LLC and GlobalTranz Enterprises, LLC, both leading non-asset based providers of third-partylogistics solutions, in a transaction led by CVC Capital Partners, Providence Equity Partners, PSG and the managementteams of both Worldwide Express and GlobalTranz. In 2015, Ridgemont invested in Unishippers Global Logistics andsubsequently led a transaction in 2017 in partnership with Worldwide Express management to merge Unishippers intoWorldwide Express to create the leading provider of logistics services to small-and-medium sized shippers. Goingforward, Ridgemont will retain a meaningful stake in the combined entity formed through the combination of WorldwideExpress with GlobalTranz. Financial terms of the transaction were not disclosed.”Subject: Logistics M&AUber Freight acquires Transplace for 2.25BTechCrunchDate: July 22, 2021“Uber Freight, the logistics business spun out of Uber in 2018, has acquired Transplace for about 2.25 billion fromprivate equity group TPG Capital, according to regulatory filings. The deal announced Thursday will involve 750 millionin Uber stock with the remainder in cash. The acquisition of Transplace marks a ramping up of Uber Freight’s businessas it aims to carve out market share in its existing markets and an expansion in Mexico. Uber Freight also sees theacquisition as a means to accelerate the company’s path to profitability and help the segment to break even on anAdjusted EBITDA basis by the end of 2022, according to the company. The union will fold one of the largest managedtransportation and logistics networks into Uber Freight’s platform, which connects truck drivers with shippers that needcargo delivered. Uber Freight’s brokerage will continue to operate independently from Transplace’s services, thecompany said.”5
Recent M&A iptionTargetSectorTransactionValue ( M)Sep-21Transfix, Inc.G Squared Ascend I Inc.Provides digital brokerage and logistics software solutions for shippers andcarriersTech-Enabled Services1,100.0Sep-21Project44, Inc.Convey, Inc.Develops and provides an Intelligent Fulfillment Platform that helps retailers topredict and adapt to changes in real-time.Tech-Enabled Services255.0Sep-21Pittsburgh Logistics Systems, Inc.D & L Transport, LlcOperates a transportation brokerage company that offers freight brokerageservice for truckload rail intermodal shipmentsSep-21A.P. Møller - Mærsk A/SHUUBSep-21Groupe Heppner S.A.Aug-21Specialty TruckingN/AOffers forwarding and transport logistics services including warehouselogistics, added value logistics, and assembly logistics servicesLogisticsN/AABC-Logistik GmbHOffers forwarding and transport logistics services including warehouselogistics, added value logistics, and assembly logistics servicesLogisticsN/ACanadian Pacific Railway LimitedKansas City SouthernProvides domestic and international rail transportation services in NorthAmericaRailSep-21DFDS A/SICT Logistics A/SOffers transport and logistics solutions (formerly known as ICT A/S)Sep-21Canada Cartage System LimitedRapid Delivery ServicesLimitedProvider of truckload, expedited, and dedicated transportation to customers inOntario and the Great Lakes statesSep-21AB Texel GroupDriessenSpeciaaltransportSpecialist in transporting (prefab) concrete and building materialsSep-21Wincanton plcCygnia Logistics Ltd(Dalepak Limited)Logistics company, provides supply chain management and fulfillmentservicesSep-21Cambridge Capital LLCEverest TransportationSystems, LLCHigh-growth, unique freight brokerage, currently focused on over the roadsurface transportationSep-21United Parcel Service, Inc.Roadie, Inc.Designs and develops a delivery ride-sharing application softwareSep-21BLADE Urban Air Mobility, Inc.Trinity Air Medical, Inc.Provides air medical escort services and medical transport of patients viacommercial airlinesSep-21The Jordan Company, L.P.Echo Global Logistics,Inc.Provides technology-enabled transportation and supply chain managementsolutionsSep-21Sasser Family Holdings, Inc.Falcon Lease HoldingsPte. Ltd.Engages in bulk oceangoing container leasingSep-21SGL TransGroup International A/SOrbis Global LogisticsLimitedAug-21KKR & Co. Inc. (Asia-PacificInfrastructure Fund)Ritchies TransportLimitedAug-21JAS ased TruckingN/ASpecialty TruckingN/ALogistics33.1Specialty TruckingN/ATech-Enabled ServicesN/AAviation23.0Logistics1,375.0Asset-Based TruckingN/AProvides freight forwarding, warehousing, distribution and logistics servicesLogisticsN/ALeading transportation operator in New Zealand with an 86-year heritage,Logistics347.0Greencarrier FreightOffers freight forwarding, logistics, and supply chain management servicesServices International ABLogisticsN/ACreative Bus Sales, Inc.Alliance Bus Group, Inc.Second-largest bus dealership and leading bus distributor, providing everytype of bus imaginable from passenger vans to the largest motorcoachesLogisticsN/AApr-21DSV Panalpina A/S (nka:DSV A/S)Agility Global IntegratedLogisticsProvides logistics services including warehousing and distribution, facilitiesmanagement, cargo management, direct to store services, among othersLogistics4,750.0Aug-21DHL Global Forwarding GmbHJ.F. Hillebrand Group AG Operates as a freight forwarder transporting wines, beers, spirits, foodproducts, and bulk liquids via sea, rail, road, and air waysAsset-Based Trucking1,755.0Aug-21American Industrial Transport, Inc.Rail Leasing Business of Leases various types of railcars and locomotives and operates a nationwideThe Andersons, Inc.network for railcar repair shops servicing third party railcarsAug-21Comprehensive Logistics Co., Inc.Global AutomotivePartners Inc.Provides company representation, assembly, logistics and quality services toOEM and tier 1 customers globallyLogisticsN/AAug-21A.P. Møller - Mærsk A/SVisible Supply ChainManagement, LLCBusiness-to-consumer (B2C) logistics company focused on B2C parceldelivery and B2C fulfillment services in the USLogistics838.0Aug-21A.P. Møller - Mærsk A/SB2C Europe Holding B.V. Business-to-consumer logistics company focused on B2C parcel deliveryservices in EuropeLogistics86.0Aug-21Architect Equity LLCThe M.A.I.L. Group, Inc.Asset-light third-party logistics provider (“3PL”) that offers full-service maildelivery solutions for critical mail, packets, parcels, and publicationsLogisticsN/AAug-21D P D (Uk) LimitedCitySprint (UK) LtdUK's premier same day delivery companyLogisticsN/AAug-21Lineage LogisticsHanson LogisticsThird-party logistics provider in temperature-controlled supply chain servicesLogisticsN/AAug-21AIT Worldwide Logistics, Inc.Intelligent Logistics,L.L.C.Provides freight forwarding, cartage, warehousing and truckload brokerageservicesLogisticsN/AAug-21H.I.G. Capital, LLCNorth America CentralSchool Bus, LLCIllinois-based student transportation providerPassengerTransportationN/AAug-21Geodis Logistics LLCCondi ServicesFrench e-commerce returns logisitcs providerLogisticsN/AJul-21Werner Enterprises, Inc.ECM Associated, LLCProvides regional and multi-regional transportation and logistics solutions inthe United States and CanadaLogistics178.0Jul-21Trimac Transportation Services Inc.Zengistics, Inc.Technology driven freight brokerage companyLogisticsN/AJul-21OEG Group LimitedModex Holding LimitedLeading manufacturer and provider of DNV certified CCU's, cabins and wellservice equipments for offshore oil & gas operationsLogistics95.1Jul-21Geodis SAGandon Transports SASEngages in the transportation of industrial palletized freight in partial lots andin full trucks for the printing and health products industryLogisticsN/AJul-21Audax / Greenbriar EquityAlliance GroundInternational, LLCProvider of airline cargo, mail, and ground handling services.Logistics600.0N/ASource: S&P Capital IQ, MergermarketEquipment Leasing550.06
Recent M&A iptionTargetSectorTransactionValue ( M)Sep-21Transfix, Inc.G Squared Ascend I Inc.Provides digital brokerage and logistics software solutions for shippers andcarriers.Tech-Enabled Services1,100.0Sep-21Project44, Inc.Convey, Inc.Develops and provides an intelligent fulfillment platform that helps retailerspredict and adapt to changes in real time.Tech-Enabled Services255.0Sep-21Pittsburgh Logistics Systems, Inc.D & L Transport, LLCOperates a transportation brokerage company that offers freight brokerageservice for truckload rail intermodal shipments.Specialty TruckingN/ASep-21A.P. Møller - Mærsk A/SHUUBOffers forwarding and transport logistics services, including warehouse logistics,added-value logistics, and assembly logistics services.LogisticsN/ASep-21Groupe Heppner S.A.ABC-Logistik GmbHOffers forwarding and transport logistics services, including warehouse logistics,added-value logistics, and assembly logistics services.LogisticsN/AAug-21Canadian Pacific Railway Ltd.Kansas City SouthernProvides domestic and international rail transportation services in North America.RailSep-21DFDS A/SICT Logistics A/SOffers transport and logistics solutions (formerly known as ICT A/S).Sep-21Canada Cartage System Ltd.Rapid Delivery ServicesLtd.Provider of truckload, expedited, and dedicated transportation to customers inOntario and the Great Lakes states.Sep-21AB Texel GroupDriessenSpeciaaltransportSpecialist in transporting (prefab) concrete and building materials.Sep-21Wincanton plcCygnia Logistics Ltd.(Dalepak Ltd.)Logistics company, provides supply chain management and fulfillmentservices.Sep-21Cambridge Capital LLCEverest TransportationSystems, LLCHigh-growth, unique freight brokerage, currently focused on over-the-roadsurface transportation.Sep-21United Parcel Service, Inc.Roadie, Inc.Designs and develops a delivery ride-sharing application software.Sep-21BLADE Urban Air Mobility, Inc.Trinity Air Medical, Inc.Provides air medical escort services and medical transport of patients viacommercial airlines.Sep-21The Jordan Company, LPEcho Global Logistics,Inc.Provides technology-enabled transportation and supply chain managementsolutions.Sep-21Sasser Family Holdings, Inc.Falcon Lease HoldingsPte. Ltd.Engages in bulk oceangoing container leasing.Sep-21SGL TransGroup International A/SOrbis Global LogisticsLtd.Aug-21KKR & Co. Inc. (Asia-PacificInfrastructure Fund)Ritchies TransportLtd.Aug-21JAS ased TruckingN/ASpecialty TruckingN/ALogistics33.1Specialty TruckingN/ATech-Enabled ServicesN/AAviation23.0Logistics1,375.0Asset-Based TruckingN/AProvides freight forwarding, warehousing, distribution, and logistics services.LogisticsN/ALeading transportation operator in New Zealand with an 86-year heritage.Logistics347.0Greencarrier FreightOffers freight forwarding, logistics, and supply chain management services.Services International ABLogisticsN/ACreative Bus Sales, Inc.Alliance Bus Group, Inc.Second largest bus dealership and leading bus distributor, providing everytype of bus imaginable from passenger vans to the largest motorcoaches.LogisticsN/AApr-21DSV Panalpina A/S (nka:DSV A/S)Agility Global IntegratedLogisticsProvides logistics services, including warehousing and distribution, facilitiesmanagement, cargo management, and direct-to-store services, among others.Logistics4,750.0Aug-21DHL Global Forwarding GmbHJ.F. Hillebrand Group AG Operates as a freight forwarder transporting wines, beers, spirits, foodproducts, and bulk liquids via sea, rail, road, and air ways.Asset-Based Trucking1,755.0Aug-21American Industrial Transport, Inc.Rail Leasing Business of Leases various types of railcars and locomotives and operates a nationwideThe Andersons, Inc.network for railcar repair shops servicing third-party railcars.Aug-21Comprehensive Logistics Co., Inc.Global AutomotivePartners Inc.Provides company representation, assembly, logistics, and quality services toOEM and tier 1 customers globally.LogisticsN/AAug-21A.P. Møller - Mærsk A/SVisible Supply ChainManagement, LLCBusiness-to-consumer (B2C) logistics company focused on B2C parcel deliveryand B2C fulfillment services in the United States.Logistics838.0Aug-21A.P. Møller - Mærsk A/SB2C Europe Holding BVB2C logistics company focused on B2C parcel delivery services in Europe.Logistics86.0Aug-21Architect Equity LLCThe M.A.I.L. Group, Inc.Asset-light third-party logistics (3PL) provider that offers full-service mail deliverysolutions for critical mail, packets, parcels, and publications.LogisticsN/AAug-21D P D (Uk) Ltd.CitySprint (U.K.) Ltd.United Kingdom’s premier same-day delivery company.LogisticsN/AAug-21Lineage LogisticsHanson Logistics3PL provider in temperature-controlled supply chain services.LogisticsN/AAug-21AIT Worldwide Logistics, Inc.Intelligent Logistics,LLCProvides freight forwarding, cartage, warehousing, and truckload brokerageservices.LogisticsN/AAug-21H.I.G. Capital, LLCNorth America CentralSchool Bus, LLCIllinois-based student transportation provider.PassengerTransportationN/AAug-21Geodis Logistics LLCCondi ServicesFrench e-commerce returns logistics provider.LogisticsN/AJul-21Werner Enterprises, Inc.ECM Associated, LLCProvides regional and multiregional transportation and logistics solutions inthe United States and Canada.Logistics178.0Jul-21Trimac Transportation Services Inc.Zengistics, Inc.Technology-driven freight brokerage company.LogisticsN/AJul-21OEG Group Ltd.Modex Holding Ltd.Leading manufacturer and provider of DNV certified CCU’s, cabins, and wellservice equipment for offshore oil and gas operations.Logistics95.1Jul-21Geodis SAGandon Transports SASEngages in the transportation of industrial palletized freight in partial lots andin full trucks for the printing and health products industry.LogisticsN/AJul-21Audax/Greenbriar EquityAlliance GroundInternational, LLCProvider of airline cargo, mail, and ground handling services.Logistics600.0Sources: S&P Capital IQ, Mergermarket.Equipment Leasing550.07
Recent M&A Transactions nJul-21Uber Freight LLCTransplace Inc.Provider of the one of the largest managed transportation and logisticsnetworks in the world.Jul-21Equity Group InvestmentsPaper TransportA Wisconsin-based for-hire truckload carrier that offers regional truckload,dedicated truckload, intermodal, and logistics services,Jul-21NTG Nordic Transport Group A/SLGT Logistics ABProvides transport logistics and warehousing solutions tailored to the furnitureindustry.Jul-21Trimac Transportation Services Inc.Double EagleTransportation Corp.Cement hauler that operates 96 tractors and 124 dry bulk pneumatic trailers.Jul-21BGFSpeedy FreightJul-21Kuehne Nagel International AGJul-21TargetSectorLogisticsTransactionValue ( M)2,179.8Asset-Based TruckingN/ALogistics43.6Asset-Based TruckingN/AProvides dedicated same-day courier services in the United Kingdom.LogisticsN/ASalmosped ASOperates as a forwarding and logistics company providing cargo facilities.LogisticsN/ADP World Ltd.Imperial LogisticsLtd.Provides outsourced integrated freight management, contract logistics, andtransportation management services.Logistics1,485.2Jul-21The Growth FundAFS Logistics AustraliaPty Ltd.Provides logistics management solutions in Australia.LogisticsN/AJul-21Knight-Swift Transportation HoldingsInc.AAA CooperTransportation, Inc.Provides asset-based multiregional transportation services.Jul-21Geodis Logistics LLCVelocity FreightTransport, Inc.Provider of freight brokerage services.LogisticsN/AJul-21Exchange Income Corp.Carson Air Ltd.Provides air cargo services to various destinations throughout Canada.Logistics61.0Jul-21Basalt Infrastructure Partners LLP;Basalt IIIUnilode AviationProvides pooling, management, maintenance, and repair of unit load devicesSolutions Switzerland Ltd. (ULDs) for the aviation industry.Equipment LeasingN/AJul-21Partners Group Holding AGApex LogisticsInternational (CN) Ltd.Provides logistics services, including air freight, ocean freight, trucking, andstorage services.LogisticsN/AJul-21DP World Ltd.Syncreon.Us Inc.Provides logistics and supply chain management services.Logistics1,200.0Jul-21Werner Enterprises, Inc.ECM Associated, LLCProvides regional and multiregional transportation and logistics solutions inthe United States and Canada.Jun-21Mullen Group Ltd.QuadExpressJun-21Crown Capital Investments LLCJun-21Asset-Based Trucking1,350.0Asset-Based Trucking178.0Provides services in the areas of domestic air freight, expedited delivery, surfacefreight forwarding, international air freight, and internal mail, among others.Logistics40.0Ameriworld Enterprises,Inc.Provides electronic order fulfillment, packaging, omnichannel distribution, andshipping services.LogisticsN/ABritish Columbia InvestmentManagement; Gamut CapitalPS Logistics, LLCProvides full-service transportation services, including asset-based transportation,non-asset-based transportation, brokerage, etc.Logistics1,100.0Jun-21MPC Container Ships ASASonga Container ASOwns and operates a fleet of container feeder vessels.Jun-21Gemspring Capital ManagementTransport Investments,Inc.Provides flatbed, drop-deck, specialized, and heavy-haul trucking and brokerageservices in the United States.Jun-21Mitsubishi HC Capital Inc.CAI International, Inc.Provides transportation finance services globally.Jun-21Enstructure LLCJun-21Marine296.3LogisticsN/AEquipment LeasingN/APatriot Port Holdings LLC Operates cargo and cold storage short-line and regional freight railroads.LogisticsN/AGHK Capital Partners LPITS Logistics LLCLogisticsN/AJun-21Worldwide Express Operations, LLCGlobalTranz Enterprises, Leading technology-driven 3PL solutions provider.Inc.LogisticsN/AJun-21Menzies Distribution Ltd.JBT Distribution Ltd.Provides warehousing, distribution, and temperature-controlled distributionservices in the United Kingdom.LogisticsN/AJun-21Lineage Logistics Holding, LLCKloosterboer Group BVProvides temperature-controlled industrial REIT and logistics solutions.LogisticsN/AJun-21Fortress Transportation andInfrastructure Investors LLCTranstar LLCComprise six operating freight railroads connected to U.S. Steel’s largestproduction facilities.Jun-21GlobalTranz Enterprises, Inc.Taktik Logistics GroupInc.Service-driven logistics company that leverages technology to createsuccessful shipping solutions for its customers.LogisticsN/AJun-21Kamps Pallets, Inc.BDL Supply, Inc.Offers pallet recycling, national pallet sales, and on-site pallet managementservices.LogisticsN/AJun-21Kenan Advantage GroupAg TruckingBulk transporter of liquid food products with more than 42 years of experiencein the industry.LogisticsN/AJun-21Redwood Logistics, LLCSkipjack SupplyChain/Proactive GlobalProvide cloud-based rating, labeling, and manifest capabilities and on-assetbased parcel services.LogisticsN/AJun-21Beacon MobilityTransit TeamProvides special needs student transportation based in Massachusetts.PassengerTransportationN/AJun-21Wind Point Advisors, LLCAmerican Trailer RentalGroup, LLCProvides trailer rental solutions with a fleet of 16,000 units, including dry vantrailers, containers, flatbeds, and chassis.Equipment LeasingN/AJun-21Knight-Swift Transportation HoldingsInc.Utxl Enterprises, Inc.Provides 3PL services, such as over-the-road full truckload and multi-stop loadsin any length of haul throughout North America.Logistics37.2Sources: S&P Capital IQ, Mergermarket.Provides services in supply chain management, freight logistics, distributionand fulfillment, and transportation management.Rail640.08
Public Markets OverviewMedian TEV/LTM EBITDA15.0x14.5x13.1x11.9x9.6x7.5x9.1x 8.6x9.0x neRailSeptember rTransportationSeptember 202112-Month Indexed Stock Price )Sep-20Dec-20LogisticsMarineTransportation Equipment LeasingPassenger TransportationDow Jones Transportation IndexSource: S&P Capital IQ.Note: All data as of September 27, 2021.Mar-21Jun-21Sep-21Asset-Based TruckingRailAviationS&P 5009
Macroeconomic DataReal GDP Growth(1)(2)Inventory/Sales Source: Bureau of Economic Analysis. MoM: YoY: 0.0%(8.1%)Source: U.S. Census Bureau.Housing Starts (000s)(1)(2)ISM Manufacturing Index(1)1,80065%60%1,60055%1,40050%1,2001,00045% MoM: 3.9% YoY: 17.4%800(1) Seasonally adjusted.(2) Annualized. 0.4% 4.3%Source: Institute for Supply Management.Consumer Price IndexSource: Bureau of Labor Statistics. MoM: YoY:35%Source: United States Census r Sentiment Index1051009590858075 MoM: YoY: 0.2% 5.3%70 MoM: (5.0%) YoY: 12.0%65Source: University of Michigan.10
Relevant Transportation and Logistics Sector DataCass Freight Index1.41.3Shipments MoM: 4.8% YoY: 12.3%Intermoda
Houlihan Lokey Transportation and Logistics Update Kris Hopkins Managing Director Head of Transportation and Logistics KHopkins@HL.com O: 212.497.7856 M: 617.784.7934 Phil Keffer, CFA Vice President Transportation and Logistics PKeffer@HL.com O: 212.497.7851 M: 973.224.3476 Additional Contacts Jason Weisbaum Vice President JWeisbaum@HL.com 212 .
