Ireland-based AMCS Group, a global supplier of integrated software and vehicle technology for the waste, recycling and resource industries with a North American office in Boston, announced its acquisition of Canada-based waste and recycling software provider TRUX Route Management Systems Inc. Jan. 29.
The acquisition will result in the newly combined company having 1,000 customers in North America, with the TRUX portfolio now representing 40 percent of AMCS’s global business, according to an AMCS press release.
AMCS CEO Jimmy Martin talked with Waste Today about the deal and the company’s future plans for expansion.
Waste Today (WT): Why was this move important for AMCS?
Jimmy Martin (JM): We’ve been in the North American market since 2009, and it's one of our fastest growing markets—at this stage, it's over 40 percent of our business. We are investing very heavily both on the product front and the people front in North America. So, it just makes sense for us—it's a natural progression and also gives us a footprint in Canada, which we had few resources in previously.
WT: How do you envision the companies meshing?
JM: A lot of TRUX customers are actually already AMCS customers, so there should be some significant overlap. We’ve been in the North American market a long time, and we already have a lot of people working there. We’re bringing all of the TRUX team in, including [TRUX President] David Ische. Over time, we will start to merge the teams together, but there's no plan to change the organization in any way from a commitment standpoint. The key focus is helping our customer base and surrounding them with some of our other technology relating to optimization and our digital portal. We’re really just looking to add value rather than trying to fundamentally change anything.
WT: From a technology standpoint, can you elaborate on how the acquisition will improve your product offerings?
JM: We have a pretty significant investment in our recycling portfolio, which we will look to integrate over time in our optimization engine. We are also going to look to integrate our 1,000 customers that already exist in that market so they can do business together. We’ll also look for things like subcontract work to be digitally automated between systems, and our onboard technologies are another key area we look to integrate.
WT: Why was TRUX an attractive partner for AMCS?
JM: There are a number of reasons. First of all, they are in the mid-market and have a comprehensive product. Their technology stack is very similar, which is very important. But beyond that, both company brands were similar in that TRUX has a very strong customer service focus as well. The acquisition checked a number of boxes from a user point of view. From an overall customer portfolio perspective, to their knowledge of the market, to our product alignment, we felt the alignment was very strong. We have known that company and their people for a long time. This didn't happen overnight. We've been working on this deal for some time and the more we work together, the more alignment we have.
WT: This was a substantial move for your company. How do you plan to chart your company’s growth in the future?
JM: We’re continuing to grow aggressively. In 2019, we grew by somewhere around 50 percent, and in 2020, we expect about the same. North America is going to be a big part of that goal. It represents around 40 percent of our business at this stage, but we’re always looking to grow that.