Toggling between organic and inorganic initiatives, Forward Air (NASDAQ: FWRD) continues to make acquisitions and announce service offering expansions. On Monday, the Greeneville, Tennessee-based trucking company added another tally mark to the inorganic column, acquiring intermodal drayage outfit Value Logistics.
Founded in 1996 and based in Memphis, Tennessee, Value Logistics is a privately held drayage provider with 20 employees and 30 independent contractors, generating approximately $6 million in revenue annually.
The $2.25 million transaction will be funded with cash and is expected to close during October.
“The Value Logistics team is an exceptional and highly-experienced group running a first-class organization — and they will fit in perfectly with Forward’s precision execution DNA. With this acquisition, we are able to expand and strengthen our current operations in Memphis and solidify Forward Intermodal as a key player in the region,” stated Forward President, Chairman and CEO Tom Schmitt in a press release.
On the second-quarter earnings call, Schmitt said the company had implemented a no-wait approach to acquisitions and organic investments.
In September, Forward announced the acquisition of final-mile delivery company CLW Delivery Inc. in a $5.5 million deal. In July, Forward announced it was expanding its airport-to-airport less-than-truckload (LTL) model to include traditional LTL service. The original plan was to offer the new service out of its existing final-mile facility in Savannah, Georgia. However, those plans were quickly accelerated with the announcement last week that it would be offering the new LTL service out of its Columbia, Missouri, and Roanoke, Virginia, final-mile facilities.