Daseke, a North American flatbed and specialized transportation and logistics solutions company, has officially finished its purchase of Aveda Transportation and Energy Services.
Per the agreement, Daseke paid roughly $42.6 million for the company in addition to ending Aveda’s $54.8 million in debt. The total was about 16% equity and financed with cash.
As one of the largest suppliers of specialized transportation services and equipment that is needed for exploration, development and production of petroleum in both the U.S. and Canada, Aveda’s resources will benefit Daeske in its expansion into this market, the company explained. Aveda more expressly attends to specialized transport of large oil rigs and relevant worksite equipment. Its locations cover almost 80% of the perspective North American market.
Daseke’s chairman and chief executive officer Don Daseke said the company’s two foundational principles are “investing in great people and building an organization of scale."
“Beyond the strategic rationale, this transaction also presents numerous synergies not contemplated in the purchase price,” Daseke elaborated. “Aveda outsources up to 35% of its long-distance rig movers to other carriers, and we have the equipment to capture some of this revenue through our various operating companies.”
This strategic move on Daseke’s part capitalizes on the resources Aveda has to offer in their new relationship.
“In addition to cross-selling, we have also identified other benefits of scale in the way of purchasing, fuel and insurance,” Daseke said. “Aveda brings us a blue-chip customer base and a fast-growing, specialized business, supported by a high-quality, culturally-aligned employee base. They are an industry leader that continues to take market share, and we expect joining Daseke will enable them to fuel their continued outperformance.”
Aveda president and CEO Ronnie Witherspoon agreed that this partnership benefits both parties.
“Joining the Daseke team makes our company stronger than ever,” Witherspoon stated. “The benefits of scale will help us better serve our customers and is already empowering our employee base.”
