KEY POINTS:
Transport and logistics company Toll Holdings has signed a conditional deal to buy Northland trucking company United Carriers for an undisclosed sum.
Toll, which this week sold its New Zealand ferry and rail business to the Government, had expressed interest in expanding in the trucking sector.
United has an annual turnover of about $50 million, employs 360 staff, and has a fleet of 220 trucks.
Its business covers general freight, livestock, logging, warehousing and international freight forwarding.
"United is a very complementary acquisition for Toll," Toll Holdings' managing director Paul Little said.
"It expands our existing businesses in New Zealand into Northland where our presence was previously limited."
Little said the acquisition "reaffirms our commitment to the New Zealand market following Monday's announcement of the sale of the rail operating business".
He said the purchase would be funded from working capital and would add significant value to Toll's inter-modal road and rail business.
The purchase has been cleared by the Overseas Investment Commission.
- NZPA
