Issue link: https://read.dmtmag.com/i/588192
12 // OWNER OPERATOR // NOVEMBER 2015 News & Notes Con-way bought by XPO Logistics for $3 billion, will be rebranded as XPO By Matt Cole XPO Logistics is set to acquire Con-way Inc., one of the country's largest trucking companies, XPO announced on September 9. The $3 billion deal has been agreed to under terms that XPO will launch a tender offer for all of Con-way's outstanding shares at a cash price of $47.60 per share. Con-way will then be merged with another XPO subsidiary. Con- way shares closed on September 9 at $35.53. All of the divisions under Con-way, which include Con-way Freight, Menlo Logistics, Con-way Truckload and Con-way Multimod- al, will be rebranded as XPO Logistics. In the 2015 CCJ Top 250, Con-way ranked as the country's sixth largest carrier, while XPO ranked as the country's 12th. The acquisition will make XPO the second largest less-than-truckload carrier in North America, the company says. Con-way has 582 locations and roughly 30,000 employees. The company posted $5.8 billion in revenue in 2014. It has nearly 12,000 power units and nearly 17,000 drivers. "Our opportunistic acquisition of Con-way will make XPO the second largest provider of less-than-truckload transportation in North America, a $35 billion market," said Bradley Jacobs, chairman and CEO of XPO Logis- tics. "Con-way is a premier platform that we will run with a fresh set of eyes as part of our broader offering. Another crown jewel in this transaction is Con-way's subsidiary, Menlo Logistics, an asset-light top 30 global con- tract logistics provider with additional lines of business in freight brokerage and managed transportation. Menlo serves blue chip con- tract logistics customers in verticals such as high tech, healthcare and retail, which com- plement the verticals we serve at XPO." Douglas Stotlar, president and CEO of Con- way, said shareholders, customers, drivers and employees will benefit from the acquisition. "This landmark transaction provides im- mediate cash value for our shareholders and reflects the outstanding contributions of our employees over our 86-year history," Stotlar said. "The combination will mean more ser- vices for our customers, more miles for our drivers and more career opportunities for our employees as part of XPO's global organiza- tion. We look forward to working with the All companies under the Con-way umbrella will be rebranded with XPO Logistics.