Third-party logistics provider STG Logistics acquired a New Jersey-based peer as part of a move to expand in the largest Northeastern U.S. freight gateway.
Veeco Holdings is a provider of transportation, container freight station, warehousing and distribution services for the New York-New Jersey market. The companies did not disclose terms of the acquisition.
Veeco operates some 615,000 square feet of warehousing space, according to its website. It operates across three locations in New Jersey, with its main warehouse in North Bergen. Veeco's senior management will join STG as senior members of its operations team.
Downers Grove, Illinois-based STG said it will consolidate the majority of its New Jersey operations into Veeco's existing facilities by the end of the first quarter of 2020. STG operates a 181,000-square-foot container freight station in Kearney.
Veeco is also a motor carrier listed with 64 trucks, according to the Federal Motor Carrier Safety Administration.
"Veeco allows STG to expand and grow its [container freight station] services in New York and New Jersey, where we have seen demand consistently exceed our capacity," said STG Chairman Greg Muldoon. In particular, Veeco will add to highly in-demand services in the region, including warehousing, distribution and ecommerce fulfillment, he added.
STG will approach $450 million in revenue following the acquisition of Veeco, according to a statement from private equity firm Wind Point Partners, STG's owner.
Wind Point's other portfolio companies include resins transportation specialist A&R Logistics and Canadian transportation firm Dicom Shipping.
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