7 January 2014
Forward Air Corp. (NASDAQ: FWRD) said its planned acquisition of all of the stock of Central States Trucking Co. and Central States Logistics, Inc. from Central States Inc. has formally closed.
CST provides industry leading container and intermodal drayage services primarily within the Midwest region of the United States. CST also provides linehaul service within the airport-to-airport space as well as dedicated contract and Container Freight Station warehouse services.
Forward Air acquired CST for the aggregate purchase price of USD95.6m, which is approximately eight times 2013 adjusted EBITDA. The transaction is being funded by Forward Air´s cash reserves and is expected to be accretive to its 2014 earnings.
Raymond James served as financial advisor to Forward Air.
Forward Air Corp. operates three business segments, Forward Air, Inc., Forward Air Solutions, Inc. and Total Quality, Inc.