Overnite to Expand Western Reach With Purchase Of Motor Cargo
Union Pacific's trucking subsidiary, Overnite Holding, will expand its western market reach with a plan to acquire Motor Cargo Industries
Union Pacific's trucking subsidiary, Overnite Holding, will expand its western market reach with a plan to acquire Motor Cargo Industries.
Based in Salt Lake City, Motor Cargo is a western regional less than truckload motor carrier providing comprehensive service throughout 10 western states. Overnite provides nationwide LTL regional, inter-regional and longhaul service with full state coverage in 32 states east of the Rockies.
With approximately 6.5 million shares of Motor Cargo outstanding, the total transaction value is estimated at approximately $80 million based on current stock prices.
"We are very pleased to have Motor Cargo as part of our family," said Leo Suggs, Chairman and CEO of Overnite. "They are a highly successful, customer focused regional carrier well positioned to continue their record of growth in the West. This acquisition will enable Overnite to accelerate our entrance into the attractive and growing western regional market."
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