TFI International Inc. (TSE: TFII) announced plans to relocate its headquarters from Montreal to the United States, as the transport giant seeks to align its corporate base with its predominantly US operations.
The Montreal-based freight carrier disclosed the planned move in its earnings report on Wednesday, where it posted net income of US$423 million on revenue of US$8.4 billion for fiscal 2024.
TFI, which has operated in the US since 2011, said about 70% of its operations and most shareholders are US-based. The company reported generating over US$750 million in free cash flow for three consecutive years.
Major stakeholder Caisse de dépôt et placement du Québec, holding approximately 4% of TFI, was not very pleased with the decision. “Quebec’s interests are always at the heart of our priorities as a shareholder,” spokesperson Kate Monfette said in an emailed statement.
CEO Alain Bédard told La Presse the move would enable TFI to join US stock indexes and potentially reduce trading discounts versus American rivals. No timeline was provided for the relocation.
The company has expanded through acquisitions, completing 90 deals over 12 years to control more than 80 operating subsidiaries.
“TFI’s move towards redomiciliation seems to be driven by the pursuit of a more business-friendly environment in the US versus Canada,” said Peter Stefanovich, president of Left Lane Associates, a transportation investment bank.
Information for this story was found via The Globe and Mail, and the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
