Oil Patch Bits: Lynden signs agreement to buy Northland Services

Lynden, a family of freight transportation companies serving primarily Alaska and the Pacific Northwest, said April 9 that it has entered into a purchase agreement to buy Northland Services Inc., a tug and barge carrier providing service between Seattle, Alaska and Hawaii.

Northland will be an independent operating company within the Lynden family of companies. The current Northland management team would stay in place.

Lynden’s Alaska Marine Lines also provides tug and barge transportation services between Seattle and Southeast and Central Alaska. “Northland has a great reputation, and adds Western Alaska and Hawaii to Lynden’s service, enabling us to provide more service capabilities to our customers,” said Lynden Chairman Jim Jansen. “We are excited about the ability to provide integrated statewide Alaska service, higher service frequency, and greater combined capabilities for our customers. Where there is service overlap, we will organize to provide a higher level of service. In certain communities where Alaska Marine Lines and Northland are the two primary freight carriers, other barge lines have plans to compete with us.”

A lengthy, complex process remains before the purchase can be completed. The proposed transaction is subject to regulatory review and other terms that, if completed, would likely result in closing in late 2013.