Roadrunner Closes on the Sale of its Prime Distribution Services Business to C.H. Robinson
March 02 2020 - 4:15PM
Business Wire
Roadrunner Transportation Systems, Inc. (“Roadrunner” or the
“company”) (NYSE: RRTS), a leading asset-right transportation and
asset-light logistics service provider, today announced it has
closed on the previously announced sale of its Prime Distribution
Services business to C.H. Robinson Worldwide, Inc. (Nasdaq: CHRW)
for $225 million in cash, subject to customary purchase price
adjustments.
“The proceeds from the sale of Prime Distribution Services were
used to pay off all borrowings under our ABL and Term Loan Credit
facilities. We believe our stronger balance sheet will position us
to invest in our remaining businesses and pursue additional
value-creation opportunities. We remain focused on improving
operating performance, generating attractive returns on invested
capital and building long-term shareholder value,” said Curt
Stoelting, Chief Executive Officer of Roadrunner.
About Roadrunner Transportation Systems, Inc.
Roadrunner Transportation Systems is a leading asset-right
transportation and asset-light logistics provider offering a full
suite of services and solutions under the Roadrunner®, Ascent
On-Demand® and Ascent Global Logistics® brands. The Roadrunner
brand offers less-than-truckload and over-the-road truckload
services. Ascent On-Demand offers premium mission critical air and
ground logistics solutions. Ascent Global Logistics offers domestic
freight management, international freight forwarding and customs
brokerage. For more information, please visit Roadrunner’s
websites, www.rrts.com and www.ascentgl.com.
Safe Harbor Statement
This press release contains forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended, which relate to future events or performance.
Forward-looking statements include, among others, statements
regarding Roadrunner’s belief that it will be positioned to invest
in its remaining businesses and to pursue additional value-creation
opportunities, and the company’s focus on improving operating
performance, generating attractive returns on invested capital and
building long-term shareholder value. Forward-looking statements
are often, but not always, made through the use of words or phrases
such as “may,” “will,” “anticipate,” “estimate,” “plan,” “project,”
“continuing,” “ongoing,” “expect,” “believe,” “intend,” “predict,”
“potential,” “opportunity,” and similar words or phrases or the
negatives of these words or phrases. These forward-looking
statements are based on Roadrunner’s current assumptions,
expectations and beliefs and are subject to substantial risks,
estimates, assumptions, uncertainties and changes in circumstances
that may cause Roadrunner’s actual results, performance or
achievements to differ materially from those expressed or implied
in any forward-looking statement. Such factors include, among
others, risks related to the restatement of Roadrunner’s previously
issued financial statements, the remediation of Roadrunner’s
identified material weaknesses in its internal control over
financial reporting, and the other risk factors contained in
Roadrunner’s SEC filings, including Roadrunner’s Annual Report on
Form 10-K for the year ended December 31, 2018. Because the risks,
estimates, assumptions and uncertainties referred to above could
cause actual results or outcomes to differ materially from those
expressed in any forward-looking statements, you should not place
undue reliance on any forward-looking statements. Any
forward-looking statement speaks only as of the date hereof, and,
except as required by law, Roadrunner assumes no obligation and
does not intend to update any forward-looking statement to reflect
events or circumstances after the date hereof.
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version on businesswire.com: https://www.businesswire.com/news/home/20200302005789/en/
Reputation Partners Marilyn Vollrath 414-376-8834
ir@rrts.com
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