UPS will become a major player in Ireland with the acquisition of the Nightline Logistics Group, which was announced today, in its latest move to expand its European domestic delivery network.
The takeover gives UPS a large network across Ireland and significant cross-border business between the UK and the Republic of Ireland. Nightline is the major domestic competitor to An Post, which is currently restructuring its operations with the aim of growing its parcels business.
The acquisition, for an undisclosed sum, follows several other M&A deals by UPS in Europe in recent years, including UK’s Freightex (2017) and Polar Speed (2014). The company’s main focus, however, has been on organic growth and its $2 billion network investment in Europe.
UPS said it has entered into a definitive purchase agreement to acquire privately-owned Nightline Logistics Group. Terms of the acquisition were not disclosed and the deal is subject to customary closing conditions, including regulatory approval.
The acquisition will “immediately position UPS as one of the top local shippers in Ireland”, the US company said. “By integrating Nightline with UPS, customers will now have a wider array of both domestic and cross-border services.”
UPS added: “Initially, the two brands will operate separately. Over time, the businesses will be integrated and customers of both companies will realise a benefit from the combination.”
UPS currently provides both small package and supply chain services to customers in Ireland, with a full suite of ground, air and ocean freight solutions. The company also operates gateway functions at both Dublin and Shannon airports.
Nightline, with more than 1,000 employees at 13 sites across the Republic of Ireland and also Northern Ireland, handles about 15 million parcels a year, according to past company information.
With the combination of both companies’ operations, UPS will significantly enhance its presence in Ireland, adding more ground sorting capacity and vehicles throughout the country.
“Operating for more than 40 years in Europe, and almost 30 years in Ireland, UPS continues to build a powerful portfolio of services for our customers throughout the region,” said Jim Barber, President, UPS International. “Nightline will complement our existing services, increasing delivery density, while also adding innovative new service options. We also look forward to bringing UPS’s extensive healthcare, high-tech and other specialized logistics expertise to the many Irish companies that specialize in these markets.”
“Ireland has long been a strong, global trade player, exporting and importing heavily with some of the world’s largest economies, including the UK, United States, Germany, China, and France, among others,” said UPS Europe Region President, Nando Cesarone. “With the addition of Nightline, we continue on our growth path in Europe, and will now be able to better serve customers who export into, and out of, Ireland. This is in addition to UPS’s commitment announced in 2014 to invest U.S. $2 billion in its European infrastructure by 2020.”
Nightline co-founder and CEO, John Tuohy, commented: “Over the past 25 years, Nightline has grown to be one of Ireland’s leading privately-owned parcel delivery, freight and logistics companies. As we celebrate over two decades in business, this is the right time in the company’s evolution to join the world’s largest parcel delivery company – one with a reputation for taking care of its people and a culture that aligns well with our own. Our customers across Ireland, Northern Ireland and Great Britain will benefit from an even wider reach, enjoying direct connectivity to global export markets, and it will be an important milestone in the company’s growth into the future.”
Nightline is a leader in developing and deploying innovative consumer-focused services, in addition to its business-to-business services. For example, Nightline’s Parcel Motel service offers a 'virtual address' that allows customers to manage their online shopping deliveries easily. The service is similar to UPS Access Point™ Lockers and creates the potential for network synergies.
