Universal Logistics Holdings Inc. has acquired Roadrunner Intermodal Services LLC, Morgan Southern Inc., Wando Trucking LLC, and Central Cal Transportation LLC from Roadrunner Transportation Systems Inc. These acquired companies, known collectively as Roadrunner Intermodal, represent a nationwide drayage provider servicing major port and rail locations throughout the U.S.
Operating a fleet of over 700 tractors, Roadrunner Intermodal services a broad range of customers utilizing a mix of company-owned and owner-operator provided capacity. For the trailing 12-month period ended Sept. 30, Roadrunner Intermodal reported total operating revenues of $125 million.
After giving effect to the acquisition of Roadrunner Intermodal and before any synergies, Universal expects its intermodal drayage business to operate an estimated fleet of over 2,500 tractors, transact business from 49 terminals strategically located throughout the U.S., and produce future annual revenues in excess of $500 million.
Universal anticipates that Roadrunner Intermodal will operate as a subsidiary of Universal Intermodal Inc. The transaction should be immediately accretive to Universal's earnings per share and cash flow.
"The acquisition of Roadrunner Intermodal is extremely exciting for us," Universal CEO Jeff Rogers said in a statement. "Roadrunner Intermodal has been a strong competitor over the years, servicing several of the same markets as Universal. We see a great deal of opportunity to integrate these two best-in-class drayage providers, while adding a significant amount of additional capacity to our network. I'm excited to get to work with the talented people at Roadrunner Intermodal and continue delivering outstanding service to the customers they support."