Boston’s Target Logistics Management agrees to be acquired in a deal worth up to $625m
Boston-based Target Logistics is a provider of remote workforce accommodations for the US oil and gas industry as well as to related industry sectors. It says it has an operational headquarters in Greater Houston.
Headquartered in Baltimore, Algeco Scotsman provides modular space and secure portable storage solutions, managing a fleet of more than 310,000 units with operations in 37 countries.
“The transaction further solidifies Algeco Scotsman’s position as the leading modular space business services provider and specifically facilitates Algeco’s continued strategic expansion in the highly attractive global remote accommodation segment,” Algeco Scotsman said in a press release.
As for the purchase price, Algeco Scotsman said that $275 million is payable at closing and about $350 million is deferred and linked to Target’s performance over the next few years. The transaction is subject to certain customary closing conditions and is expected to be completed by the end of February.
In a statement, Brian Lash, chief executive of Target Logistics, said, “Together, we have an enhanced opportunity to expand our business globally to better serve our customer needs.”
The Target Logistics team of more than 400 employees will continue to operate under its current brand, and the existing Target Logistics management team will remain in place, Algeco Scotsman said.