LAS VEGAS – Citing a rise in nearshoring, Mexico-based trucking giant Traxion has acquired Las Vegas-based BBA Logistics for $10 million. BBA Logistics is a door-to-door and cross-border cargo brokerage company.
“With this acquisition, Traxion moves forward with its expansion plans into the United States, particularly in domestic and cross-border cargo services, following its inorganic growth path through asset-light companies within its logistics and technology division,” said Aby Lijtszain, executive president and founder of Traxion. “With the integration of BBA Logistics, Traxion strengthens its strategic position to continue to capitalize opportunities brought by the nearshoring phenomenon.”
Traxion was founded in 2011 and is one of Mexico’s largest logistics companies, employing around 21,000. Last September, the company acquired V-Modal, a railway logistics firm for around $6 million. The acquisition expanded Traxion’s rail capabilities into the United States and Canada, the company said.
BBA specializes in cross-border logistics, offering cross-dock, transloading and storage services. It has facilities in Las Vegas, Arizona, Mexico City and Los Mochis, Mexico.
BBA estimates that it will generate around $22 million in revenue in 2023, with a 10% EBIDTA margin. The company is free of debt. Forty percent of the $10 million purchase price was paid at closing, with the remainder to be paid over the next two years.