MINNEAPOLIS, MN (STL.News) C.H. Robinson (Nasdaq: CHRW) today announced that it has finalized the acquisition of Prime Distribution Services (“Prime”), a leading provider of retail consolidation and value-added warehouse services in North America, from Roadrunner Transportation (NYSE: RRTS) for $225 million. The acquisition expands C.H. Robinson’s retail consolidation business and brings additional scale, capabilities and expertise to the company’s portfolio. C.H. Robinson financed the acquisition and related fees and expenses with cash on hand and funds drawn from C.H. Robinson’s existing credit facilities. The company expects the transaction to be slightly accretive to earnings in 2020.
“We are excited about the combination of Prime and C.H. Robinson,” said Bob Biesterfeld, Chief Executive Officer of C.H. Robinson. “We welcome our new colleagues at Prime to the team, and we look forward to the work we will do together to provide excellent service to our combined set of customers and carriers.”
“This is an exciting day for Prime as we bring together the capabilities and incredible talent of C.H. Robinson and Prime to create a leading retail consolidation platform,” said Bill Vechiarella, President of Prime Distribution Services. “I would like to thank all of our employees for their continued dedication to our customers and carriers.”
Prime will be integrated into C.H. Robinson’s North American Surface Transportation division.
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