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Wheels Group - Sold To Radiant Logistics
- Thread starter Shakey
- Start date
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Canada is slowly being bought out by the Americans. The road to becoming the next annex to the US...
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only ones that would buy, check out stock price tells the story, needed growth couldn't do enough to keep market happy gamble you take when you go public.
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MEX is buying into both the U.S./Canada AND while that is all going on...China is taking over the world....not much you can do about it.
Other than start taking Mandarin lessons (will soon be one of the top languages throughout the world).
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So, in other words, some of the most corrupt contries in the world are coming to Canada... now that's really exciting. So we may as well stop persuing and jailing the corrupt in Canada. We seem to be wasting time and money...
Remember, this is solely a logistics company purchasing another logistics company and not an asset based company. The purchase is basically a paper saying who's name will be on the top of the invoice and who's CEO will get paid. It is no different than a CH Robinson, Hub Group. They merely purchased a sales group and a customer list.
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Don't anyone kid yourself, if someone walks in with the right number and looking after key employees you are not really going to care what country they are from.
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A lot of the Torus people actually ended up here, believe it or not.
Also, don't forget that Wheels is actually not entirely non-asset based. MSM does indeed still run some trucks, and Clipper runs over 600 reefer intermodal containers in the US (just not across the border). They are actually one of the largest of the temperature-controlled IMCs in North America ... only Alliance and C R England have a bigger reefer container fleet, I believe).
BUT ... the fact is that Wheels Group hasn't actually been making money for a few years, actually well before they went public. Where they were once innovative, they became what I feel to be complacent.
Radiant is only about 1/4 of the size of Wheels as a whole. The way we would know Radiant up here is by one of their divisions. They run under different divisions, Adcom Worldwide and Airgroup both have presence up here but not very big.
Personally, I don't think this is going to go very well. Radiant will be highly leveraged and I think they'll have a hard time turning things around.
Also, don't forget that Wheels is actually not entirely non-asset based. MSM does indeed still run some trucks, and Clipper runs over 600 reefer intermodal containers in the US (just not across the border). They are actually one of the largest of the temperature-controlled IMCs in North America ... only Alliance and C R England have a bigger reefer container fleet, I believe).
BUT ... the fact is that Wheels Group hasn't actually been making money for a few years, actually well before they went public. Where they were once innovative, they became what I feel to be complacent.
Radiant is only about 1/4 of the size of Wheels as a whole. The way we would know Radiant up here is by one of their divisions. They run under different divisions, Adcom Worldwide and Airgroup both have presence up here but not very big.
Personally, I don't think this is going to go very well. Radiant will be highly leveraged and I think they'll have a hard time turning things around.
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