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Ryder acquiring Whiplash for $480M in cash

By The Robot Report Staff | December 14, 2021

Whiplash has a partnership with autonomous mobile robot developer Locus Robotics. | Photo Credit: Whiplash

Ryder System, a leader in supply chain, dedicated transportation, and fleet management solutions, entered into a definitive agreement to acquire Whiplash for approximately $480 million in cash. City of Industry, Calif.-based Whiplash provides scalable e-commerce and omnichannel fulfillment solutions to more than 250 brands.

Robotics and automation are part of Whiplash’s offerings. The company has a partnership with Locus Robotics, a leading developer of autonomous mobile robots. Ryder said it will integrate Whiplash’s facilities, operations, technology, and warehouse automation and robotics systems into its e-commerce fulfillment solution within the supply chain solutions business unit.

Whiplash has 19 dedicated and multi-client warehouses that total nearly seven million square feet and provide access to key port operations and gateway markets.

The transaction is expected to add $480 million in gross revenue to Ryder’s supply chain solutions business segment in 2022. The deal is expected to close in late December 2021 or early January 2022.

“The acquisition of Whiplash is consistent with our strategy to accelerate growth in our higher-return supply chain business. It also expands our e-commerce and omnichannel fulfillment network and reflects our continued focus on technology and innovation,” said Robert Sanchez, chairman and chief executive officer, Ryder.

“With e-commerce sales continuing to hit record levels and omnichannel retailing becoming mainstream, we’re seeing a significant uptick in brands looking for more dynamic fulfillment services,” said Steve Sensing, president of global supply chain solutions, Ryder. “Whiplash has built a proven model that meets today’s consumers where, when, and how they choose to engage with brands – whether that’s online from a mobile device or laptop, in-store, or a combination. We expect that our combined customers will benefit from that additional flexibility as well as Ryder’s vast nationwide network, extensive technology suite, best-in-class warehouse management practices, and end-to-end transportation logistics solutions.”

The acquisition will add to Ryder’s current e-commerce fulfillment network with new facilities in Chino, Calif; City of Industry, Calif.; Long Beach, Calif.; Jacksonville, Fla.; Savannah, Ga.; Newark, N.J.; Secaucus, N.J.; Clifton, N.J.; Columbus, Ohio; Salt Lake City, Utah; and Sumner, Wash. Additionally, the acquisition strengthens Ryder’s presence in key port operations, providing four-corner coverage of all major U.S. inbound gateways via Seattle/Tacoma, New York/New Jersey, Savannah, and Long Beach.

With the expanded footprint following the acquisition, Ryder said its e-commerce and omnichannel fulfillment solution is expected to be able to deliver to 100% of the U.S. within two days and 60% of the U.S. within one day.

“This announcement signals a new accelerated phase of growth for Whiplash that will benefit our current customers and dramatically enhance our ability to scale and deliver innovation for digitally-native brands and omnichannel retailers,” says Jeff Wolpov, chief executive officer of Whiplash. “Ryder’s supply chain expertise, facility network, and last-mile transportation solutions are a perfect complement to the Whiplash e-commerce platform, and we’re excited to be part of the Ryder team.”

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