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Global Logistics Co. to Buy US Trucking Firm for $435M
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Shares of USA Truck Inc. traded 111% higher after the trucking and logistics firm reported it agreed to be acquired by DB Schenker of Germany in an all-cash transaction for $31.72 per share.

North American medium-haul common and contract trucking carrier USA Truck Inc. (USAK:NASDAQ) and leading global transportation logistics service provider DB Schenker, today announced "an agreement under which DB Schenker will acquire all outstanding shares of USA Truck common stock for $31.72 per share in cash."

The companies reported that the transaction has an estimated value of $435 million. Under the terms of the agreement, DB Schenker will gain ownership of all of USA Truck's shares and assets including any cash balances held and will assume all outstanding debt.   

The companies advised that combining the two firms' operations will serve to advance DB Schenker's efforts in becoming a premier North American transportation solutions provider. DB Schenker aims to expand and strengthen USA Truck's presence in North America and to offer its vast array of complementary air and ocean transport and global logistics services to USA Truck's existing client base.   

DB Schenker's CEO Jochen Thewes commented, "USA Truck is the perfect match for DB Schenker's strategic ambition to expand our network in North America and foster our position as a leading global logistics provider…We are pleased to welcome one of the leading trucking and logistics providers to DB Schenker. Together we will enhance our shared value proposition and invest in exciting growth opportunities and sustainable logistics solutions for new and existing clients."

USA Truck's President and CEO James Reed remarked, "This transaction provides immediate and significant value for USA Truck stockholders, offers broadened career opportunities for our employees and increased capacity and service offerings with which to support our customers, and better positions our company to realize our long-term vision to become the premier North American transportation solutions provider."

DB Schenker's EVP Joe Jaska of Land Transport, Americas Region added, "USA Truck employees will have access to career opportunities at both the local and global level. We view this transaction as a platform for growth and by combining these organizations, we will greatly enhance our presence in the North American land transport space."

The company advised that the transaction has already been unanimously approved by its Board of Directors and is expected to close by the end of this calendar year, subject to USA Truck shareholder approval, ordinary closing conditions and certain regulatory approvals.

USA Truck is a Van Buren, Ark.-based truckload carrier that services North American markets throughout the U.S., Canada and Mexico. The company offers trucking and freight carrier services as a medium-haul common and contract carrier. The firm also provides freight brokerage, logistics and intermodal rail services thru its USAT Logistics segment which helps its clients manage supply chains with customized freight, contract carriage, intermodal and other critical third-party logistics services.

The firm employs approximately 2,250 people across around 30 locations in North America. Its third-party network includes over 13,000 authorized carriers and access to greater than 60,000 free running containers. As of December 31, 2022, USA Truck's fleet included 2,157 tractors, of which 1,516 are company owned and 641 are independently owned. The company's assets also include about 6,550 trailers.

DB Schenker is a wholly owned subsidiary of Deutsche Bahn (Rail) and is headquartered in Essen, Germany. The company is one of the world's largest shipping logistics providers employing 76,100 people worldwide at 1,850 locations spanning 130 countries. The firm is an integrated provider for cargo and logistics for land, air and sea transportation and offers comprehensive contract and lead logistics and global supply chain management solutions.

USA Truck started off the day with a market cap of around $131.3 million with approximately 9.0 million shares outstanding. USAK shares opened 109% higher today at $30.50 (+$15.92, +109.19%) over yesterday's $14.58 closing price and reached a new 52-week high price this morning of $31.6675. The stock has traded today between $30.41 and $31.6675 per share and is currently trading at $30.82 (+$16.24, +111.39%).

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