Patriot Transportation Holding on Wednesday said it plans to separate its transportation business, the trucking company Florida Rock & Tank Lines, from its real estate businesses.
The separation will result in two independent, publicly traded companies. The move is subject to a number of conditions, including final board approval. It is expected to be completed in the next twelve months.
The Florida-based Patriot believes that the separation will offer a number of advantages, including “distinct and targeted investment opportunities in the real estate company and the transportation company,” the company said in a statement. “After the separation, investors will be able to evaluate and invest in each business based on its merits, financial performance and future prospects.”
Patriot anticipates that after the spin-off the real estate company will operate under the name FRP Holdings and the transportation company will use the name Patriot Transportation Holding.
Patriot’s real estate group acquires, constructs, leases, operates and manages land and buildings and also owns real estate which is leased under mining royalty agreements or held for investment. Florida Rock & Tank lines is a dry and liquid bulk carrier serving the Southeast.