Horizon North joins with Dexterra to augment logistics
Called the ‘Transaction’, this collaboration will provide businesses with a Pan-Canadian service which has expert logistical capabilities and the potential to earn CA$1bn in annual revenue.
Expected to generate significant value for stockholders, Transaction will fuse the best aspects of both companies: Horizon’s strong logistical presence in the west of the country and Dexterra’s centrally-focused workforce and platform.
Forming a strong network from the expertise of two leaders in their respective and complementary fields, the new support services venture will have a combined employee count of over 6,800 people.
Investing in an upgraded supply chain
Enabling the new enterprise is Fairfax Financial, a Toronto-based insurance firm, which will be brokering the investor rights agreement between Horizon and Dexterra.
"We are excited about the creation of a Pan-Canadian services company in Canada with the potential of $1 billion in revenue and great growth prospects for the future,” said Prem Watsa, Chairman and CEO of Fairfax.
“We expect significant shareholder value to be created over the long term."
Dexterra’s CEO, John MacCuish, believed that the partnership would lead not just to improved supply chains, but also sustainability, corporate integrity and overall profits.
"We will be stronger together, building a sustainable and profitable business to create more opportunities for our people and enhance our delivery to the customers we serve and the clients we work for."
A vision to change Canadian business
The Transaction is conceived as being a component in a vision which seeks to change the landscape of Canadian business. Rod Graham, CEO of Horizon, believes that its partnership with Dexterra could be beginning of an exciting future.
“This transformational combination supports a vision for a new, premier, made-in-Canada company that brings size, scope, scalability and sophistication to the markets we serve, while creating value and unlocking growth potential for shareholders.”
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