News Content
XPO's US$3 billion Con-way takeover puts it in the global big leagues
XPO LOGISTICS' US$3 billion purchase of Michigan-based Con-Way, a Fortune 500 trucker, with 582 offices and 30,000 staff, puts into the international big leagues after its recent buyout of French logistics giant Norbert Dentressangle.
With the Con-way deal, XPO Logistics will see its annual revenue rise to around $15 billion, more than six times the $2.4 billion revenue of 2014, reported Atlanta area Air Cargo World.
Before this year's acquisitions, XPO was non-asset based. Now it has a fleet of 7,700 owned trucks, 3,200 trucks contracted through owner-operators and access to an additional 12,000 independent carriers via the Dentressangle acquisition.
If the deal goes through, all Con-ways brands - Con-way Freight, Menlo Logistics, Con-way Truckload and Con-way Multimodal - will be rebranded as XPO Logistics, as it did when it bought Dentressangle for $3.5 billion.
XPO chairman and CEO Bradley Jacobs will retain these titles in the merged company, having XPO has completed at 14 takeovers in like matter and boosted revenue almost 40 times to a projected $6.7 billion this year, Bloomberg reports.
Con-way's president and CEO Douglas Stotlar will serve in a limited role as an independent advisor to the combined company through the first quarter of 2016.
"We will run the business with a fresh set of eyes," Mr Jacobs told Newark's Journal of Commerce. "We see an opportunity to improve its profitability by $170 million to $210 million within two years."
Mr Jacobs said he expects the acquisition to close in October.
With the Con-way deal, XPO Logistics will see its annual revenue rise to around $15 billion, more than six times the $2.4 billion revenue of 2014, reported Atlanta area Air Cargo World.
Before this year's acquisitions, XPO was non-asset based. Now it has a fleet of 7,700 owned trucks, 3,200 trucks contracted through owner-operators and access to an additional 12,000 independent carriers via the Dentressangle acquisition.
If the deal goes through, all Con-ways brands - Con-way Freight, Menlo Logistics, Con-way Truckload and Con-way Multimodal - will be rebranded as XPO Logistics, as it did when it bought Dentressangle for $3.5 billion.
XPO chairman and CEO Bradley Jacobs will retain these titles in the merged company, having XPO has completed at 14 takeovers in like matter and boosted revenue almost 40 times to a projected $6.7 billion this year, Bloomberg reports.
Con-way's president and CEO Douglas Stotlar will serve in a limited role as an independent advisor to the combined company through the first quarter of 2016.
"We will run the business with a fresh set of eyes," Mr Jacobs told Newark's Journal of Commerce. "We see an opportunity to improve its profitability by $170 million to $210 million within two years."
Mr Jacobs said he expects the acquisition to close in October.
Latest News
- For the first time, tianjin Port realized the whole process of dock operati...
- From January to August, piracy incidents in Asia increased by 38%!The situa...
- Quasi-conference TSA closes as role redundant in mega merger world
- Singapore says TPP, born again as CPTPP, is now headed for adoption
- Antwerp posts 5th record year with boxes up 4.3pc to 10 million TEU
- Savannah lifts record 4 million TEU in '17 as it deepens port
