Celadon Group has announced that it completed the disposition of all assets associated with its flatbed trucking division to a subsidiary of PS Logistics, a flatbed-focused transportation and logistics provider.
The flatbed division assets included in the transaction consist primarily of leased and owned trailers, which were sold for an assumption or satisfaction of the lease and cash. Celadon is also entitled to certain post-closing goodwill payments. As part of the deal, the purchaser will also enter into contracts covering up to 100 independent contractor flatbed drivers, hire certain flatbed company drivers and operations employees, and assume certain customer contracts associated with the flatbed division.
PS Logistics is a full-service logistics company based in Birmingham, Ala., offering solutions such as asset transportation, brokerage, third-party logistics, and supply chain services. Celadon decided to sell its flatbed division as part of a company strategy to streamline its services and focus on core business lines.
“Under the strategic plan adopted over the past 30 days, our goal is to concentrate our resources on core business lines where we add value to customers and have the opportunity to generate acceptable returns over time,” said Paul Svindland, Celadon’s CEO. “Our new management team determined that we had neither the expertise nor the critical mass to compete in the flatbed sector. Accordingly, we were pleased to offer our people and customers a good home with one of the largest and most successful flatbed operators in the U.S.”