UPS to Buy Fritz Cos. for $450M

United Parcel Service (UPS) is buying Fritz Cos., a freight forwarding, customs brokerage and logistics business, the companies announced Wednesday morning.

UPS will pay $450 million of its Class B common stock for the San-Francisco-based company, which had $1.6 billion in gross revenue in its most recent fiscal year. The sale must be approved by Fritz shareholders and regulators and it is not expected to close before the second quarter.

The 78-year old company – which has operations in every region of the world – changed chief executive officers twice in 2000.

UPS said the acquisition would broaden its portfolio of global services to include air, ground and ocean freight. Fritz currently owns and operates 400 facilities in more than 120 countries and has more than 10,000 employees globally, according to the company.