GXO Logistics (NYSE:GXO) announced a deal to acquire PFSweb (NASDAQ:PFSW) for $7.50 per share in cash. The deal represents an equity value of approximately $181M. The enterprise value is $142M and includes PFSweb’s (PFSW) cash balance of $39M as of June 30. The deal price is a 46% premium to the closing price of PFSW on Wednesday.
Texas-based PFSweb (PFSW) is described as a leading e-commerce order fulfillment provider, serving some of the most iconic luxury brands in the world through 11 distribution centers across North America, Belgium, and the U.K. PFSweb (PFSW) is noted to have significant expertise delivering seamless, high touch fulfillment in key growth verticals, including health & beauty, jewelry and collectibles, activewear, and prestige CPG categories, where it has established lasting relationships through an array of solutions and services that deliver an unforgettable unboxing experience.
GXO CEO Malcolm Wilson said the acquisition will enhance the company's exposure to new high-growth verticals in North America and adds important capabilities to current offerings. Strategic benefits expected include the immediate addition to customers to GXO's (GXO) portfolio in short cycle, high volume product categories. GXO (GXO) also sees itself further expanding its U.S. offering in cosmetics and luxury leveraging PFSweb's (PFSW) client relationships that service more than 100 brands, including L’Oréal USA, Champion, Pandora, Shiseido Americas, Kendra Scott, and the United States Mint. GXO said it will also aim to capitalize on PFSweb’s (PFSW) technology and services with expanded offerings to GXO’s current North America and European customers.