Celadon Buys Tango Transport, Continues Expansion
Celadon Trucking Services, one of the nation’s biggest transportation and logistics, purchased parts of Tango Transport, a carrier with an 850 truck fleet. Tango Transport LLC, in Shreveport, La subsequently reported it would be laying off up to 80 of its employees to the Louisiana Workforce Commission. Celadon, which is based in Indianapolis, did not buy terminals or offices from Tango, but only particular equipment-based assets.
Joe Weigel, the spokesman for Celadon, said that because the companies already share some of the same clients, the acquisition seemed natural. “We have every intention of fulfilling some of the lanes and customers that equipment was used for,” he said. “Fortunately [we share] a number of those customers with Tango, and we’re hopeful we can continue to run those lanes for our customers. And much more important, we certainly hope some of the drivers who were driving that equipment will come to work for Celadon as well.”
One of Celadon’s main goals for the future it enlarging their customer base and increasing the number of truck drivers working for their company. Celadon Chairman and CEO Paul Will believes this purchase will send them in the right direct to make that goal happen. “We are delighted with the Tango acquisition and expect it to fulfill one of our immediate goals of continuing to grow our business with our existing customer base by adding density in our primary traffic lanes and gaining experienced drivers,” Will stated.
Celadon is preparing to combine the assets of the two companies quickly in an effort to build their company. “We expect to integrate the acquired operations promptly,” Will said. “As part of the integration process, we expect to optimize the combined customer, driver and equipment base to improve asset productivity. We believe we can enhance the service to Tango’s former customers through an upgraded equipment fleet, excellent technology, more available assets for dispatch and an outstanding safety record.”
Though the deal’s financial detail were not released, Celadon did report that in 2014 Tango grossed about $90 million in revenue. Father and son Robert E.
Gorman and BJ Gorman created Tango in 1991 and specializes in dry goods deliveries with facilities in Louisiana, Arkansas, and Kentucky. As another part of their expansion, in January this year Celadon bought Taylor Express, a dry van and dry bulk for-hire based in North Carolina for $49 million. Most of their work is in the South and Southeast with tire and retail industries. Taylor was setup to operate as business as usual, with the same founder (Doug Taylor) and management teams and under the same name, Taylor Express. Celadon reported that the company’s drivers, administrative staff and their customers shouldn’t notice much change in their everyday business.
“Taylor Express will be a tremendous addition to our strategic platform,” Will stated. “Doug Taylor has brought together an outstanding management team, focused on providing excellent service to customers. Our plans are to keep his executive team and administrative organization in place, while providing the needed resources to grow operations.” Taylor was founded in 1987, owns 840 trailers, 190 trucks, and produces about $38 million revenue annually.
Celadon was founded in 1985 and now has over 4,000 employees all over the North America.