Private equity firm ZS Fund, majority owner of Transervice Logistics, has acquired Lily Transportation Corp. Combined, Transervice and Lily now operate more than 185 locations with more than 2,600 employees, about 1,750 of whom are drivers, according to a ZS Fund press release.
Gregg Nierenberg, president and CEO of Transervice, also will serve as president and CEO of Lily. Alex Lafaras, executive VP and chief financial officer at Transervice, will assume the same role at Lily.
The release states that customers can expect business as usual, as Transervice and Lily will be merged under one owner but will continue to operate as separate companies. Each will retain their independent corporate names and separate field and management teams.
See also: Equipment leasing and rentals take new turns in 2023
“ZS Fund’s well-earned reputation in our industry as a private equity group looking for long-term appreciation, while allowing existing management teams to lead their companies, led me to choose ZS as Lily’s financial partner,” said John Simourian II, president and CEO of Lily Transportation. “I have every confidence that Gregg Nierenberg is the right leader to ensure Lily’s continued growth. He has been a distinguished leader at some of the largest companies in our industry, and he respects and embraces our proud heritage and the exceptional customers and associates who have made us the great company we are today. While I will no longer be involved in Lily’s day-to-day operations, as chairman of Lily and a board member and investor in Lily and Transervice, I will be fully engaged in providing support and guidance to Lily’s new leadership.”
Nierenberg expects this transaction to provide more flexibility when matching prospective new customer needs and locations with each company’s strengths. The two companies now have an aggregate of 2,600 employees, including over 1,750 drivers for dedicated contract carriage services, and manage around 27,000 pieces of equipment. According to the release, customers will benefit from the combined entities’ shared buying power, knowledge, best practices, and technology advancements.
“Transervice and Lily’s cultures and business approaches are remarkably similar,” Nierenberg said. “Both companies have many very long-standing customer relationships. We value these partnerships and will continue to give our customers the white-glove touch. Every customer is provided with a senior executive point-of-contact to ensure responsive, efficient management in their day-to-day operations.”
