HONOLULU: August 04, 2016. Matson Logistics has completed its purchase of Span Alaska, a privately held LTL trucking and logistics company based in Auburn, WA for US$197.6 million.
Founded in 1978, Span Alaska ships over 200 million pounds of freight annually to Alaska, Hawaii, and Puerto Rico, offers overnight service from Anchorage to Fairbanks and the Kenai Peninsula, and provides LTL services via barge from Seattle to Southeast Alaska.
"We are pleased to complete this acquisition that significantly expands Matson Logistics' platform and underscores our long-term commitment to the Alaska market," said Matt Cox, president and CEO of parent company Matson. "As a subsidiary of Matson Logistics, this leading consolidation and forwarding business will retain the trusted Span Alaska brand and continue to be led by its experienced management team, independent of Matson's ocean transportation operations."
Matson reported revenue of US$922 million for the first six months of 2016 and a net income of US$36.1 million.
Cox said market conditions in the company's China/U.S. West Coast service remained depressed during the second quarter ending June 30 compared to the same period last year. However the company's Hawaii trade "produced solid results benefitting from an 8.4 percent increase in year-over-year volume while we deployed 11 ships during the quarter in order to maintain adequate capacity to serve our customers amid continued market growth."
Looking to the remainder of 2016, Cox said Matson would continue to focus on its long-term commitment to Alaska that now includes the Span Alaska acquisition, the construction of its new 'Aloha Class' vessels, and the consideration of additional fleet renewal investments following last year's purchase of Horizon Lines' Alaska operation for US$469 million.