Startup Jack Cooper LTL is in talks to acquire less-than-truckload carrier Standard Forwarding, according to multiple sources familiar with the matter. Little is known about the new offshoot of Jack Cooper – a Teamsters-staffed car hauler – other than various posts from LTL veterans on LinkedIn in recent weeks showing that they now work for the company.
East Moline, Illinois-based Standard Forwarding is a regional, union LTL carrier with 14 terminals throughout Illinois, Iowa, Wisconsin, Indiana and Minnesota. The 90-year-old company has 350 tractors and 800 trailers, according to its website. It was acquired by DHL Freight in 2011. It currently has a three-year collective bargaining agreement with the Teamsters union covering more than 400 employees that expires on March 5.
Financial details were not available. This appears to be Jack Cooper LTL’s first acquisition.
“Jack Cooper is hopeful they can reach an agreement with the company and the union to help save hundreds of jobs as Jack Cooper has demonstrated [it can do] time and time again,” a spokesperson with Jack Cooper told FreightWaves on Thursday.
A Thursday memorandum from Teamsters General President Sean O’Brien acknowledged DHL’s intent to sell Standard Forwarding. He also said the company is expected to remain a union shop.
“DHL Freight has committed to seeking to find a new employer for Standard Forwarding that will respect and maintain Teamsters protections at the company,” the update stated.
Sarah Riggs Amico, executive chairperson at Jack Cooper Investments, made multiple going-concern bids for bankrupt LTL carrier Yellow Corp. (OTC: YELLQ) last year and earlier this year under a newly formed entity, Next Century, Inc. One plan had the backing of Teamsters and a couple of senators, who asked the U.S. Treasury to extend the maturity date of Yellow’s $700 million COVID-relief loan, which would have been assumed by Next Century as part of the deal’s financing.
Those bids were ultimately rejected by Yellow’s administrators, which chose instead to continue to liquidate the carrier’s assets.