Danish freight forwarder Scan Global Logistics (SGL) said it had agreed its biggest ever investment to acquire Portland, Oregon-based logistics provider OIA Global. The proposed transaction, announced late Wednesday, is expected to expand SGL’s global footprint and position the company among the world’s 20 largest freight forwarders.
The acquisition is intended to expand SGL’s footprint in strategic markets and further enhance the range of supply chain services it provides to customers. The combined business will offer a broader portfolio of logistics solutions to assist businesses in navigating increasingly complex supply chains, moving beyond traditional freight forwarding.
Established in 1988, OIA Global has more than 1,200 employees in more than 60 offices in over 30 countries. Its service portfolio covers freight forwarding, customs clearance, contract logistics, project logistics, prime contractor management, packaging design and materials management. The company had $780 million in revenue last year.
SGL said that combining OIA Global’s capabilities with its existing operations will enhance its existing service offering and significantly strengthen its foothold in the United States and other strategically important markets. The expanded portfolio would allow customers to access a wider range of supply chain services through an extended logistics network.
Acquisition activity heats up across logistics sector
The deal comes as mergers, acquisitions and investments in the logistics industry ramp up this year, particularly in the US, as the freight cycle shows signs of improvement.
Armstrong & Associates says SGL is the world’s 19th largest freight forwarder by gross revenue and ocean and air freight volumes. The company also ranks in the top 50 logistics providers in the world by gross revenue.
Freight forwarders mainly arrange transportation for cargo owners; full-scale logistics providers also offer warehousing, distribution and supply chain management services. The acquisition of OIA Global would be a further capability enhancement for SGL in these areas, especially in contract logistics.
A long-term international growth plan
Since 2018, SGL has been on an aggressive expansion drive building a broad international footprint through acquisitions in Africa, Europe and North America and opening offices in a number of other countries.
In 2021, the Danish company expanded its overseas operations by taking over the international freight forwarding unit of U.S. trucking giant Werner Enterprises.
Today, SGL has more than 5,100 employees in over 200 offices around the globe. The size of the company’s operations is evident in its financial results: it posted $2.82 billion in revenue last year, with adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) up 12% year over year to $244.2 million.
Even with the adjusted EBITDA improvement, SGL posted a net loss of $101.5 million. Management blamed the loss on the cost of refinancing debt and financing its acquisition of Canada’s ITN Logistics Group.
Expected to close in the first quarter of 2027
The acquisition of OIA Global is subject to customary regulatory approvals. The companies did not reveal financial terms of the transaction.
The project is expected to be completed in the first quarter of 2027 and is a significant step in SGL’s strategy to expand its international operations and strengthen its position in the global logistics market.
