Freightways Expands Information Management Services

July 3, 2007: The courier company Freightways has made two major information management purchases, spending almost $10 million on both sides of the Tasman to pick up Brisbane’s Shred-X and Christchurch’s MSS.

Shred-X operates a secure document destruction service, while MSS handles document storage. The deal will see Freightways purchase Shred-X for $8.6 million and MSS for NZ$1 million (AU$909,174), and provide a significant boost for its information management capabilities.Freightways last major purchase in this industry was its acquisition of Databank, the second largest data storage company in Australia, in July 2006. The $30 million acquisition gave the courier company a strong foothold in information management, and now with the addition of Shred-X and MSS the firm will be considerably expanding its information management offerings.

For one, Freightways will now be able to offer a more complete range of services, including data and document storage and document destruction.

The two purchases are also expected to boost the company’s earnings before interest, tax, depreciation and amortisation (EBITDA), bringing in a further $1.4 million and $300,000 respectively.

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