Joloda, one of the UK's leading manufacturers of loading and handling systems, has acquired its main competitor in the USA, Advanced Handling System Inc (AHS), a subsidiary of Morgan Corporation, for $1 million dollars.
The acquisition, a joint venture by Joloda and its exclusive North
American distributor, Loading Automation Inc (LAI), increases the company's market share of the US air cargo sector from 40 to 80 per cent, making its product, Hydraroll, the number one pneumatic roller track system in the States.
Founded in 1969, Liverpool-based Joloda is one of the world's leading designers and manufacturers of manually and automatically operated materials handling systems used to move goods in the distribution sector. Its solutions are used to move items inside vehicles, around warehouses, and between the two, particularly in the food, drink, consumables, automotive and air cargo sectors. Clients include Procter & Gamble, Coors, Honda USA, General Motors and Goodyear, and it is believed that the increased presence in the US as a result of the acquisition will attract further blue chip customers.
Already used by Lufthansa, Aviance and Singapore Airlines, Joloda's leading product brand, Hydraroll, is an innovative range of materials handling solutions that reduce the need for manual handling and aid the efficient, secure storage and transportation of products.
All activities at AHS in Morgantown, Pennsylvania have been transferred to LAI's Wilmington, North Carolina base and its assets integrated into the business. AirTrax, a replica of the Joloda Hydraroll system currently made by AHS, will discontinue and be replaced by the genuine Hydraroll system.
2/3 Joloda's Us Acquisition Strengthens Its Dominance In Logistics
Joloda's £7.5m turnover is predicted to substantially increase following the acquisition, with expectations that USA sales alone will rise by $2 million. In the UK, the company's Anglesey manufacturing facility produces more than 100km of pneumatic roller track per year, whilst the Liverpool centre makes more than 500 skate systems per month. Both figures will rise significantly as Joloda, having recorded a record year of sales to-date, aggressively pursues market growth.
Loading Automation is a nationally recognised materials handling systems integration company, specialising in turnkey automated trailer loading and logistics systems. It is the exclusive supplier of the Hydraroll roller track system and Joloda materials handling product lines throughout North America, has a turnover of approximately $5m and supplies custom-engineered conveyor systems to Fortune 100 companies worldwide.
Founded in 1986, Advanced Handling System was a subsidiary of Morgan Corporation, the largest straight truck body-builder, producing over 35,000 trucks annually from 10 USA locations.
Joloda employs more than 100 people across its locations in Liverpool, Anglesey and Holland. As well as strengthening Joloda's position within the global marketplace, the AHS acquisition opens several new lines of business, and will create more jobs at its Anglesey factory due to the relocation of production from the USA to the UK.
Wojtek Kordel, managing director of Joloda International, said: "Our vision for Joloda has always been to create the world's leading manufacturer of loading, handling and logistics systems. The acquisition of Advanced Handling System and the joint venture with our exclusive North American distributor, LAI, is the perfect platform to allow us to fulfil this goal and is a substantial step towards developing the global strength of our business, which in turn will benefit our 3/3 Joloda's Us Acquisition Strenghthens Its Dominance In Logistics customers. The combination of our high quality product range and the geographic spread of our clients, together with that of AHS, and our USA partner, Loading Automation, provides the perfect conditions for further expansion."
Joloda and LAI anticipate the smooth integration of AHS with their existing operations and networks. Employees at the AHS facility have already been successfully redeployed within the Morgan Corporation.