BCI, Gamut to Invest in Transportation Firm PS Logistics

British Columbia Investment Management Corp. (BCI) is investing in US transportation and shipping company PS Logistics, in partnership with a middle market investment firm, Gamut Capital Management.

Terms of the transaction were not disclosed by the Canadian institutional investor and New York-based private equity firm Gamut Capital, but the deal is expected to close in this year’s third quarter, Gamut said last week.

“As a long-term investor, we seek market-leading companies with a demonstrated track record of creating shareholder value,” Aaron Papps, senior portfolio manager at BCI, said in a statement. “We look forward to working with the founder-led management team and Gamut to support the company’s future growth.”

Headquartered in Alabama, PS Logistics provides flatbed transportation of goods across the US and specializes in irregular routes that carry cargo to wherever destination it needs to go, the firm said.

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Recently, PS Logistics has been expanding its business into other parts of the continental US. In March, the flatbed shipping company disclosed that it had purchased “substantial” assets from Jason Jones Trucking and acquired the company’s fleet of 38 tractors that operate in the eastern United States.

Interest in the logistics sector has not dampened among investors who are betting on the continued growth of e-commerce. This year, industrial real estate investment trusts (REITs) such as warehouses and distribution centers have jumped 16.7% year to date.

About 10%, or US$14.5 billion (C$17.9 billion) of the US$139 billion (C$171.3 billion) in assets that BCI has under management, is invested in private equity. The Canadian allocator takes a sector focus into the industrial, health care, financial and business services, technology, and retail sectors.

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Tags: BCI, British Columbia Investment Management Corporation, Investment, Investment Fund

Citigroup has become the latest institutional investor to get into the cryptocurrency and blockchain business with the launch of a new unit called the Digital Assets Group, which will come under its wealth management division, according to an internal memo.

According to the memo, which was obtained and reported on by cryptocurrency news site The Block and Bloomberg News, the group will be co-led by Alex Kriete, senior vice president, investment counselor at Citi Private Bank, and senior vice president and portfolio manager Greg Girasole.

“They will be responsible for developing our future product capabilities, client delivery mechanisms and thought leadership around all digital assets,” the memo said. The memo added that Kriete and Girasole will develop products and “work in tandem with our functional partners and the broader Capital Markets and Citi Investment Management teams to develop a robust and scalable value proposition.” They will also be liaisons to “all other business groups at Citi that are expanding into this rapidly emerging space.”

Earlier this month State Street launched a digital division called State Street Digital that it said will build on the financial services firm’s digital capabilities and expand to include crypto, central bank digital currency, blockchain, and tokenization. And in April, the firm was named as the administrator of a planned Bitcoin-backed exchange-traded note that will be listed on the Frankfurt Stock Exchange. It was also was appointed the fund administrator and transfer agent of the VanEck Bitcoin Trust, a new Bitcoin exchange-traded fund (ETF).

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In March, investment bank Morgan Stanley internally announced plans to launch access to three funds that provide Bitcoin ownership. However, the bank is limiting access to its wealthier clients, as it considers the investment suitable only for clients with at least $2 million in assets and a high risk tolerance.

And in January the world’s largest asset manager, BlackRock, revealed in Securities and Exchange Commission (SEC) filings that it was getting into the cryptocurrency business when it applied to the regulator to include Bitcoin futures in two of its funds.