TFI International Acquires DD Sexton to Expand Cold Chain Operations

TFI International's acquisition of D&D Sexton accelerates its expansion in cold chain logistics. This acquisition aims to broaden the cold chain network, enhance technological capabilities, optimize operational processes, and strengthen partnerships. The cold chain logistics market holds significant potential but faces challenges such as high costs, technical demands, and spoilage rates. TFI International's strategy is expected to drive industry progress and provide consumers with higher-quality cold chain services. This move signifies TFI's commitment to investing in and improving the efficiency and reliability of temperature-controlled transportation.
TFI International Acquires DD Sexton to Expand Cold Chain Operations

The rapid evolution of consumer expectations for fresh, high-quality food products has placed unprecedented demands on cold chain logistics. As e-commerce platforms deliver premium perishables directly to consumers' doors, the critical role of temperature-controlled transportation in preserving food safety and quality has come into sharp focus.

Strategic Expansion in Refrigerated Transport

TFI International, a North American transportation leader, has significantly strengthened its cold chain capabilities through the acquisition of Missouri-based D&D Sexton, a refrigerated transport specialist with over four decades of industry experience. The deal marks TFI's latest move to consolidate its position in the rapidly growing temperature-controlled logistics sector.

D&D Sexton brings to TFI a fleet of more than 120 tractors and nearly 400 refrigerated trailers, along with established customer relationships generating over $25 million in annual revenue. The family-owned operation employs approximately 150 company drivers and owner-operators, supported by 40 non-driving personnel.

Synergies and Integration

Alain Bédard, TFI's Chairman, President and CEO, emphasized the strategic fit of the acquisition: "D&D Sexton aligns perfectly with our CFI operating company in terms of organization, culture and business model. This addition enhances our temperature-controlled capabilities while bringing valuable long-term customer relationships."

"We see multiple near-term opportunities to improve profitability through cost, route and pricing optimization, along with long-term potential to elevate D&D to new levels of excellence through equipment and capacity network enhancements," Bédard added.

Michael Hinz, TFI Senior Vice President, noted this acquisition represents CFI's latest expansion into temperature-controlled services following its 2020 purchase of MCT Transportation. "D&D Sexton's inclusion deepens our commitment to the refrigerated sector and strengthens our ability to serve customers who require both dry van and temperature-controlled solutions," Hinz stated.

Cold Chain Market Dynamics

The global cold chain logistics market continues to expand, driven by growing demand for fresh and frozen foods, pharmaceuticals, and other temperature-sensitive products. Industry analysts project sustained growth as e-commerce penetration increases and consumer expectations for product quality and safety intensify.

However, the sector faces significant challenges including high operational costs, technical complexity, and product loss risks. TFI's strategic investments aim to address these challenges through network expansion, technology adoption, and operational optimization.

Future Outlook

With this acquisition, CFI now offers five distinct transportation services: truckload, dedicated, temperature-controlled, Mexico operations, and logistics. The integration of D&D Sexton's refrigerated expertise with CFI's existing network creates opportunities for enhanced service offerings and operational efficiencies.

Hinz highlighted the cultural alignment between the companies: "D&D brings temperature-controlled knowledge, additional capacity, and professionals who share our commitment to service excellence. Combining their operations with our existing refrigerated services creates complementary freight lanes that strengthen the entire network."

As consumer demand for fresh food continues to rise, TFI International's expanding cold chain capabilities position the company to meet evolving market needs while setting new standards for reliability and efficiency in temperature-controlled transportation.