Terminal and logistics firm Enstructure has entered a definitive agreement to acquire the Patriot Port Holdings LLC division of Patriot Rail & Ports; the deal is said to allow Patriot to focus on growing its core rail business.
Transaction terms were not disclosed.
Patriot Ports, a sister company to Patriot Rail Co. LLC, operates six terminals in the Southeast (Jacksonville, Fla.; Savannah, Ga.; Mobile, Ala.; and Sunny Point, N.C.) with approximately 1.2 million square feet of industrial warehouse capacity, including 10.2 million cubic feet of cold storage. It handles commercial and breakbulk cargo, including forest products, poultry, seafood, steel products and military equipment. Patriot Rail runs 13 short line and regional railroads, a scenic rail excursion train, and rail-related services companies with more than 600 total rail miles across the United States.
Wellesley, Mass.-based Enstructure will also acquire Patriot Ports’ subsidiaries: Portus Holdings LLC and Seaonus Holdings LLC, and their respective subsidiaries.
The deal, which is expected to close in early July, will expand Enstructure’s operations to 12 terminals along the East Coast and Inland River System, with more than 600 employees and about 3.2 million square feet of industrial warehouse capacity, including 19.2 million cubic feet of cold storage.
“Enstructure’s expertise in terminal and cold storage operations made the company a natural fit,” Patriot Rail & Ports CEO John E. Fenton said, noting that more than 150 Patriot Ports employees, including all operating personnel and management, will remain in place following the acquisition. “We are confident that Enstructure’s best-in-class service will ensure a seamless transition for Patriot Ports’ customers and employees. This transaction will allow Patriot to focus on growth in our core rail business moving forward.”
“We are thrilled to welcome Patriot Ports to the Enstructure family of companies,” said Matthew Satnick and Philippe De Montigny, Co-CEOs of Enstructure. “The combination will significantly enhance our leading East Coast and Inland River System terminal network serving bulk, breakbulk and cold storage customers. Patriot Ports further expands our terminal network into high growth markets and broadens our ability to provide best-in-class service to our customers.”