Chicago-based Echo Global Logistics, a leading third-party logistics provider, has announced the acquisition of Fastmore Logistics, a freight brokerage firm specializing in domestic non-asset transportation services for international freight forwarders. The financial terms of the deal were not disclosed.
Strategic Expansion into International Freight
The acquisition represents Echo's strategic move to penetrate the international freight forwarding market. Fastmore Logistics, founded in 2005 and headquartered in Schaumburg, Illinois, has established expertise in serving freight forwarders with expedited brokerage services across various equipment types.
Echo CEO Doug Waggoner described the acquisition as addressing a significant market gap. "There's always been a disconnect between domestic freight personnel and international freight personnel," Waggoner explained. "Fastmore understands how to communicate with freight forwarders and provide them with truckload services."
Complementary Capabilities
The combination brings together Echo's extensive transportation management platform with Fastmore's specialized freight forwarding expertise. Echo President Dave Menzel emphasized the complementary nature of the businesses, noting minimal customer overlap between the two companies.
"Fastmore serves a market niche we haven't previously addressed," Menzel stated. "Our truckload and intermodal capabilities will enhance their service offerings while allowing us to expand our market reach."
Integration Plans
The integration process will focus on enhancing Fastmore's technological capabilities while maintaining operational continuity. Fastmore's 52 employees will join Echo, with the Schaumburg office continuing operations. The companies anticipate a gradual rebranding of Fastmore under the Echo name.
Ray Sciuckas, Fastmore's founder and CEO, expressed enthusiasm about joining Echo, citing shared commitment to digital transformation in logistics. "We look forward to expanding our capabilities while continuing to serve our freight forwarding clients," Sciuckas said.
Market Implications
The acquisition signals continued consolidation in the logistics sector as providers seek to offer more comprehensive services. Industry analysts note the transaction provides Echo with immediate access to the growing international freight forwarding market while strengthening its position against larger competitors.
The deal also reflects broader trends in logistics technology integration, as traditional brokerage services increasingly incorporate digital platforms to improve efficiency and customer service.