TLSS Enters Into Agreement to Acquire the Assets of GRC Trucking, Inc.
The transaction is expected to close on or about March 31, 2020 subject to the completion of satisfactory due diligence by TLSS.The purchase price will be paid through the issuance of TLSS common stock.
GRC’s 30-Year Intermodal Business Will Expand TLSS’ Logistical Capabilities
WEST PALM BEACH, FL, Feb. 21, 2020 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- Transportation and Logistics Systems, Inc., f/k/a PetroTerra Corp, (OTC: TLSS), (“TLSS", or the “Company"), a leading eCommerce fulfillment service provider, announced today that it has entered into an asset purchase agreement to acquire all of the assets of GRC Trucking, Inc. (“GRC”), a Kearney, New Jersey based full-service logistics provider specializing in the import/export ocean and rail intermodal and drayage shipping.
John Mercadante, President of TLSS, stated, “We are very excited about the prospect of joining forces with the GRC team, a company with a successful 30-year track record in the industry. GRC is expected to add another exciting dimension to our growing business, providing revenue enhancement, diversification and multiple opportunities for growth. Geographic proximity to our PrimeEFS and ShypDirect hub in New Jersey was another important strategic consideration since both parties anticipate that we will be able to generate significant improvements in operating margins through improved asset utilization, reductions in fuel and facility costs as well as the elimination of other duplicative expenses.”
Mr. Christopher Nappi, President of GRC, added, “We were very impressed with TLSS’ growth strategy and see this as a highly synergistic business combination. For example, we currently contract out the pickup and return of containers from and to the port, as well as the delivery of their contents, which are services that TLSS currently provides as well, so the leveraging and cross-marketing potential of our joint capabilities were key factors in our decision to pursue this transaction.”
The transaction is expected to close on or about March 31, 2020 subject to the completion of satisfactory due diligence by TLSS. The purchase price will be paid through the issuance of TLSS common stock.
About Transportation and Logistics Systems, Inc.
TLSS operates as a leading logistics and transportation company specializing in eCommerce fulfillment, Last Mile, two-person Home Delivery and Line Haul services for the world’s leading online retailers through its wholly-owned operating subsidiaries, PrimeEFS, LLC and ShypDirect, LLC. For more information about the Company and its subsidiaries, visit the Company’s website, www.tlssinc.com, or view the public filings at SEC.gov.
Forward Looking Statements
Statements in this press release regarding the Company that are not historical facts are forward-looking statements and are subject to risks and uncertainties that could cause actual future events or results to differ materially from such statements. Any such forward-looking statements, including, but not limited to, financial guidance, are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that do not directly or exclusively relate to historical facts. In some cases, you can identify forward-looking statements by terms such as “may,” “will,” “should,” “could,” “would,” “expects,” “plans,” “anticipates,” “believes,” “estimates,” “projects,” “forecasts,” “predicts,” “potential,” or the negative of those terms, and similar expressions and comparable terminology. These include, but are not limited to, statements relating to future events or our future financial and operating results, plans, objectives, expectations and intentions. Although we believe that the expectations reflected in these forward-looking statements are reasonable, these expectations may not be achieved. Forward-looking statements represent our intentions, plans, expectations, assumptions and beliefs about future events and are subject to known and unknown risks, uncertainties and other factors outside of our control that could cause our actual results, performance or achievement to differ materially from those expressed or implied by these forward-looking statements. In addition to the risks described above, these risks and uncertainties include: our ability to successfully execute our business strategies, including integration of acquisitions and the future acquisition of other businesses to grow our company; customers’ cancellation on short notice of master service agreements from which we derive a significant portion of our revenue or our failure to renew such master service agreements on favorable terms or at all; our ability to attract and retain key personnel and skilled labor to meet the requirements of our labor-intensive business or labor difficulties which could have an effect on our ability to bid for and successfully complete contracts; our failure to compete effectively in our highly competitive industry could reduce the number of new contracts awarded to us or adversely affect our market share and harm our financial performance; our ability to adopt and master new technologies and adjust certain fixed costs and expenses to adapt to our industry’s and customers’ evolving demands; our history of losses, deficiency in working capital and a stockholders’ deficit and our ability to achieve sustained profitability; material weaknesses in our internal control over financial reporting and our ability to maintain effective controls over financial reporting in the future; our substantial indebtedness could adversely affect our business, financial condition and results of operations and our ability to meet our payment obligations; the impact of new or changed laws, regulations or other industry standards that could adversely affect our ability to conduct our business; and changes in general market, economic and political conditions in the United States and global economies or financial markets, including those resulting from natural or man-made disasters.
These forward-looking statements represent our estimates and assumptions only as of the date of this release and, except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise after the date of this release. Given these uncertainties, you should not place undue reliance on these forward-looking statements and should consider various factors, including the risks described, among other places, in our most recent Annual Report on Form 10-K and in our Quarterly Reports on Form 10-Q, as well as any amendments thereto, filed with the SEC.
CONTACT:
Transportation and Logistics Systems, Inc.
Investor Relations
561-672-7068
PCG Advisory Inc.
Jeff Ramson
646-863-6893