Forward Air Announces Acquisition of CLW Delivery, Inc.
September 16 2020 - 9:00AM
Business Wire
Forward Air Corporation (NASDAQ: FWRD) (the “Company or
“Forward”) is executing a growth strategy that involves organic
infrastructure investments, such as the ongoing LTL network
expansion, as well as inorganic investments, including acquisitions
of complementary businesses. As part of the inorganic growth
strategy, Forward today announced that it has entered into an
agreement to acquire the assets of CLW Delivery, Inc. (CLW), a
privately held final mile provider for $5.5 million. CLW generates
$20 million in annual revenue. The transaction will be funded from
cash on hand and will close in October 2020.
Headquartered in Johnson City, Tenn., CLW specializes in
last-mile logistics and in-home installation services for national
retailers and manufacturers.
The acquisition of CLW supports the Company’s strategic growth
plan by expanding the footprint of Forward’s Final Mile business
into an additional 14 markets. With this acquisition, along with
FSA Logistix and Linn Star Transfer in 2019, Forward Final Mile has
experienced a period of hypergrowth, expanding from 8 operating
locations into 110 in under two years.
Tom Schmitt, President, Chairman and CEO stated, "Our Final Mile
business is a key area of growth for Forward. CLW offers a unique
opportunity to expand our Final Mile service offering by stretching
into customized installations and builder projects, which is
something we haven’t provided in the past. Bringing in CLW marks
our commitment to advancing our capabilities within this
space.”
About Forward Air Corporation
Forward Air Corporation (NASDAQ: FWRD) is a leading asset-light
freight and logistics company. We provide LTL, final mile,
truckload, intermodal drayage and pool distribution services across
the United States and in Canada. Headquartered in Greeneville,
Tennessee, Forward operates 93 terminals across the country and
employs more than 5,200 people nationwide. We are more than a
transportation company. As a single resource for your shipping
needs, Forward is your supply chain partner. For more information,
visit our website at www.forwardaircorp.com.
This press release may contain statements that might be
considered as forward-looking statements or predictions of future
operations including with respect to the expected funding and
timing of closing of the CLW acquisition, growth of the Company’s
Final Mile business and strategic enhancements to the Company’s
Final Mile business. Such statements are made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act
of 1995 and are based on management’s belief or interpretation of
information currently available. These statements and assumptions
involve certain risks and uncertainties including that the
conditions to closing are not met and the closing is delayed or
never occurs, that the performance of the CLW business post-closing
is worse than anticipated and that the Company is not able to
achieve the planned synergies. Actual events may also differ from
these expectations as a result of the risks identified from time to
time in our filings with the Securities and Exchange Commission.
You should consider the forward-looking statement contained herein
in light of such risks. We assume no duty to update these
statements as of any future date.
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version on businesswire.com: https://www.businesswire.com/news/home/20200916005183/en/
Justin Moss, 404-362-2472 jmoss@forwardair.com
Forward Air (NASDAQ:FWRD)
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