United Parcel Service (UPS) has announced the sale of its truckload brokerage business, Coyote Logistics, to RXO for $1.025 billion. This move aligns with UPS's 'Better and Bolder' strategy. UPS originally acquired Coyote Logistics in 2015 for $1.8 billion. The sale is expected to solidify RXO's position as a top-3 truck brokerage in North America. Coyote Logistics currently manages 10,000 loads per day. The deal involves RXO issuing $550 million of new equity and is immediately accretive, valued at 30% of gross revenue, 2x gross profit, and 11.6x adjusted EBITDA. Brad Jacobs, RXO's CEO, described the transaction as 'monumental.' UPS is set to book an $800 million loss from the sale.
UPS Sells Coyote Logistics to RXO for $1 Billion. This Company Got The Better Deal. https://t.co/pDaZOHmJWm
$UPS will sell its Coyote Logistics unit to $RXO for $1.025 billion.
$UPS will sell its Coyote Logistics unit to $RXO for $1.025 billion. Source: Reuters
And... just like that, $RXO buys Coyote from $UPS for $1B in an immediately accretive deal despite issuing $550M of new equity Some notes: - Creates the #3 freight brokerage in North America - Valued at 30% of Gross Revenue, 2x Gross Profit, 11.6x Adj EBITDA - UPS books ~$800Mโฆ https://t.co/j3HmLKs1XN
$UPS acquired Coyote Logistics for $1.8B in 2015. Now selling Coyote to $RXO (a Brad Jacobs company) for $1.025B. https://t.co/inLyn17Nlv
RXO to acquire Coyote Logistics From UPS https://t.co/5lGQTHTPOa ๐คฏ
UPS Sells Freight Brokerage Operation to RXO https://t.co/BwxyiaPpIP
UPS sells Coyote Logistics business to RXO for $1 billion. https://t.co/YxBfHL8vqc https://t.co/Gvr1lNjgZV
United Parcel Service $UPS will sell its Coyote Logistics business unit to $RXO for $1.025 Billion - Reuters
UPS sells its Coyote Logistics business to RXO for $1 billion https://t.co/6Lbj9AblI7
BREAKING NEWS: UPS Inc. announced it plans to sell its truckload brokerage business Coyote Logistics to the technology-enabled brokerage RXO for $1.025 billion. https://t.co/fJGRf3rUHa
โMonumentalโ Brad Jacobs on UPS sale of Coyote to RXO https://t.co/VWXRkJWlAq
โMonumental!โ Brad Jacobs on UPS sale of Coyote to UPS https://t.co/leWXtDwkA3
โMonumental!โ Brad Jacobโs on UPS sale of Coyote to UPS https://t.co/qSwiKzf5f5
Best 2 days in Coyote corporate history: The day UPS acquired it and the day UPS sold it https://t.co/qVSPJQ5aTb
With today's news, @rxoinc solidifies its top-3 position in truck brokerage. RXO was the natural buyer for @CoyoteLogistics, given their focus on brokerage, acquisitive history, and technology. I believe this should be a win for @UPS, Coyote, RXO and all involved.โฆ
UPS paid $1.8B for Coyote and is now reselling it to RXO (Brad Jacobโs co for $1B). https://t.co/4aRlGmwTLg
๐ฃ JUST IN: $UPS UPS to Sell Coyote Logistics to RXO for $1.025 Billion $FDX $AMZN ๐ Key Highlights: ๐ UPS agrees to sell Coyote Logistics to RXO for $1.025 billion. ๐ Sale aligns with UPSโs "Better and Bolder" strategy. ๐ Coyote Logistics manages 10,000 loads per dayโฆ https://t.co/LqaR2q1krV
UPS sells Coyote for $1b to RXO Tune in to WHAT THE TRUCK?!? Monday at 12PM Eastern where Iโll break down the deal with @FreightAlley Will look at winners, losers, what it means for both, if more m&a is coming, and of Craig thinks now is a good time to buy Donโt miss itโฆ https://t.co/uKAOAH5A2s
UPS announces sale of Coyote Logistics unit to RXO for $1 billion https://t.co/DSfmsQAHBP https://t.co/rnwG4i2fEi
RXO is buying Coyote for $1 billion!
$UPS announces sale of Coyote Logistics unit to RXO for $1 billion https://t.co/tlnu3m9mZh
โ ๏ธ UPS ANNOUNCES SALE OF COYOTE LOGISTICS UNIT TO RXO FOR $1 BILLION Full Story โ https://t.co/vaFigQWvbZ https://t.co/vnwzKt1qYd
RXO agreed to buy UPS unit Coyote Logistics for $1 billion https://t.co/QhqZtLTVlL