- THE MAGAZINE
XPO Logistics Inc. has completed its previously announced acquisition of 3PD Holding Inc. in a transaction valued at approximately $365 million.
The acquisition is expected to be significantly accretive to earnings. The company financed the acquisition and related fees and expenses with the net proceeds of its recent $220.5 million public offering of common stock, together with cash on hand.
“Our acquisition of 3PD gives us immediate leadership in the heavy goods, last-mile space – an underpenetrated market for logistics with an exciting growth trajectory,” says Bradley Jacobs, chairman and CEO of XPO Logistics. “We welcome 3PD’s customers, carriers and employees, all of whom will benefit from the combined resources of our larger organization.”
Jacobs continued, “We’re very bullish about the opportunities embedded in each of our five avenues of growth: optimizing our existing operations, cold-starts, acquisitions, our strategic and national accounts program, and now last-mile. We’re right on plan for our long-term goal of creating a world-class 3PL with several billion dollars of revenue and several hundred million dollars of EBITDA.”
3PD, founded in 2001, is a provider of heavy goods, last-mile logistics in North America. 3PD provides blue chip retailers with customized solutions tailored to their supply chain needs, and serves small and mid-sized shippers by matching them to carriers on a transactional basis.