TRAXIÓN ANNOUNCES THAT IT HAS SUCCESSFULLY CLOSED THE ACQUISITION OF MEDISTIK

Mexico City, August 24, 2022 – Grupo Traxión, S.A.B. de C.V. (“Traxión” or the “Company”) (BMV: TRAXION A), a leading transportation, mobility, and logistics company in Mexico, announces that it has obtained all regulatory approvals, and today successfully closed the acquisition process of MEDISTIK, one of the most important 4PL companies of healthcare products logistics solutions, mainly medicines and medical accessories, through an asset light approach.

The transaction price was Ps. 1,557 million in cash. For 2022, MEDITIK considers revenues for approximately Ps. 625 million pesos. Once incorporated to the TRAXIÓN platform, and with all planned synergies realized, EBITDA margin is expected to be over 35%. Particularly, the most relevant synergies and efficiencies will come from the commercial front, with immediate effects on the revenues of such division.  

With this acquisition, TRAXIÓN integrates the pharma vertical to its 4PL and last-mile logistics services, in addition to retail and e-commerce. MEDISTIK offers highly specialized services, has a sound leadership position, and more than 25 years of experience within a highly resilient sector with broad expansion opportunities.

MEDISTIK has more than 36,000 square meters (~388,000 sq. ft.) of highly specialized logistics space in 6 main warehouses (4 in the State of Mexico, 1 in Monterrey, and 1 in Guadalajara), plus 10 cross-dock facilities in key locations, employs 431 staff members, and completes more than 190,000 deliveries per year for more than 50 AAA clients, with a 99.9% efficiency.

“With MEDISTIK, TRAXIÓN already participates in the pharma vertical through an unparalleled value proposal in the industry. It is a successful and profitable company, with a solid leadership position and presents us with a unique growth opportunity within a highly specialized logistics sector. With this acquisition and the commercial efforts of TRAXION’s team, we are sure that we will be able to multiply the revenues of this division in the short term. MEDITSK is a key piece for our expansion strategy within the supply chain, with an asset light approach, with many synergies and efficiencies that will contribute to create further long-term value.” – Commented Aby Lijtszain, Founder and Executive President of TRAXIÓN.