Estes Express Lines has bid $15 million to acquire assets the Eastern Freight Ways and Carrier Industries divisions of New England Motor Freight, according to recent reports.
The bid is part of NEMF’s chapter 11 bankruptcy proceedings, stemming from the LTL carrier’s decision to file for bankruptcy in early February. A decision on the $15 million bid will be made on May 16.
The New Jersey-based company stated that it had recorded losses in consecutive years and the damage was compounded by unsustainable increases to overhead.
The company determined that chapter 11 bankruptcy was the best way to maximize the value of its assets for the benefit of its employees and creditor constituencies.
For Estes Express, the acquisition would bolster the company’s flatbed truckload business. Estes is based in Richmond, Virginia, employing over 8,100 drivers with 6,700 vehicles and over 27,400 trailers.