Cudahy-based Roadrunner Transportation Systems Inc. announced today it has acquired all of the outstanding stock of A&A Express, a provider of truckload services based in Brandon, S.D., for approximately $24.0 million, plus an earn-out capped at $2.5 million.
A&A transports primarily refrigerated product throughout the United States utilizing a combination of independent contractors and employee drivers. The acquisition was financed with borrowings under Roadrunner’s credit facility.
Mark DiBlasi, president and chief executive officer of Roadrunner, said, “The acquisition of A&A expands our refrigerated capacity in key lanes and broadens our customer base. In addition, A&A’s Midwest presence enables us to more effectively cross-sell our truckload services because of their superior service and solid, long-term customer relationships. A&A’s principal former owners will remain in place and are excited about the growth opportunities we collectively envision.”
“A&A’s operating network and high quality fleet are an excellent complement to our existing Truckload Services platform and will provide immediate growth opportunities in our refrigerated offering,” said Brian van Helden, president of Roadrunner’s Truckload & Logistics business segment.
In 2011, A&A generated revenues of approximately $39.3 million. A&A is expected to be accretive to Roadrunner’s earnings in 2013.