Dive Brief:
- Temperature-controlled food carrier Nagle Cos. is expanding its refrigerated trucking services with the acquisition of Kandel Transport, according to an Aug. 25 press release.
- Together, the combined Ohio-based operation will have 115 tractors, 200 trailers and an expected annual revenue of approximately $45 million.
- Kandel Transport will retain its name and structure for now as the companies continue their integration efforts.
Dive Insight:
The deal between the two companies was years in the making. Jack Daniels, owner of Akron, Ohio-based Kandel Transport, and Ed Nagle, president and CEO of Walbridge, Ohio-based Nagle Cos., were connected through their operations in similar markets.
Last year, Daniels approached Nagle about a strategic partnership, which developed into an acquisition after months of discussion and evaluation, per the release.
“We saw early on that our companies shared not only the same values, but also complementary strengths,” Nagle said in the release. “By joining forces, we'll be able to provide enhanced resources, upgraded technology, and stronger network opportunities for our customers while supporting the talented team at Kandel.”
In addition to expanded refrigerated hauling capacity, the transaction gives Nagle Cos. other perks, such as access to Kandel’s cross-border operations into Canada. Kandel’s market there includes Montréal and Toronto, according to its website.
Nagle says the acquisition also provides it with scale needed to increase negotiation power in fuel, equipment and parts purchasing.
Larger specialized fleets, covering businesses such as reefer, tanker and others, tended to have lower fuel costs per mile than their smaller peers, according to the American Transportation Research Institute’s July Analysis of the Operational Costs of Trucking report.
Those types of businesses with just 26-100 trucks also had significantly higher truck and trailer lease/purchase costs per mile in 2024, per the report.
Meanwhile, Kandel expects to benefit from expanded opportunities, updated technology and operational expertise, Daniels said in the release.
“This partnership allows Kandel to remain true to who we are while also giving us access to resources that will strengthen our long-term future,” Daniels said.
