Mullen Group to acquire customs broker Willson International

OTTAWA, Ontario - Mullen Group Ltd., a Canadian stock exchange-listed company (TSX:MTL), has announced it has reached agreements to buy Willson International Limited and its associated companies. Willson is a customs brokerage and trade compliance services provider, operating in Canada and the United States. The deal, which is anticipated to close in the fourth quarter, will be financed by Mullen Group’s existing cash reserves, as stated in a press release.

Founded over a century ago, Willson currently employs more than 330 staff across Canada and the U.S., with the majority holding customs certification. The firm offers customs and logistics services to North American and international clients through proprietary technology tools. It is projected to contribute around $80 million annually in revenue, with operating margins similar to those of Mullen Group’s Logistics & Warehousing segment.

Willson is expected to generate positive free cash flow, as it has minimal ongoing capital needs, apart from ongoing technology investments. Murray K. Mullen, Chair and Senior Executive Officer of Mullen Group, commented that Willson represents an exceptional business with a rich heritage, a seasoned team, and a brand that has earned the confidence of its clients for over a century.

Willson will continue as a separate entity within Mullen Group, with its Canadian operations included in the Logistics & Warehousing segment and its U.S. operations classified under the US & International segment. The present senior management team, headed by Jim McKinnon, will retain responsibility for managing Willson’s affairs.

This acquisition will enhance Mullen Group’s customs brokerage capabilities, supplementing existing services provided by Cole International. EY Parthenon Corporate Finance Inc. served as the exclusive financial advisor to Willson, while EY LLP provided tax guidance.