On Wednesday morning, trucking giant Knight-Swift announced that the acquisition of U.S. Xpress is now complete.
According to a statement issued by Knight-Swift on July 5, the the previously-announced acquisition of U.S. Xpress Enterprises, Inc. was approved by shareholders on June 29, and the transaction was completed on July 1.
On March 21, 2023, the companies announced that they had entered into an agreement to acquire U.S. Xpress for approximately $808 million, excluding transaction costs.
When the acquisition plans were announced in March, Knight-Swift said that U.S. Xpress would continue operating under its own brand and would maintain separate operations in order to “minimize disruptions for the driving associates, shop and office employees, and customers.” Senior management at U.S. Xpress remained in place through the transition process prior to the July 1 closing. With the transaction complete, Swift executives Tim Harrington and Josh Smith will take on the roles of U.S. Xpress President and CFO, respectively.
The acquisition of U.S. Xpress is expected to add approximately 7,200 tractors and 14,400 trailers to Knight-Swift’s consolidated enterprise.
Knight-Swift CEO, Dave Jackson, commented, “We are grateful for the efforts of so many who worked diligently to bring about such a significant transaction in the truckload industry. Against the current backdrop of a particularly difficult business environment, the chance to add one of the largest brands in our industry, with significant opportunity to improve earnings, gain customers and reach more professional drivers, is a compelling part of our plan to drive higher highs and higher lows across successive truckload freight cycles. As we have engaged with more of the U.S. Xpress organization since the announcement, we have even more confidence that our combined efforts will lead to achievement of the profitability targets we communicated. Our cross-functional synergy teams made up of leaders from Knight, Swift, and U.S. Xpress are off to a great start collaborating on plans to share best practices, improve operations and leverage economies of scale – and now they have the green light to fully engage. While the truckload part of the organization focuses on achieving the goals we have laid out for U.S. Xpress, our LTL and M&A teams remain focused on our strategic priority of continuing to build out a nationwide LTL network.”