WARREN,
Mich., Sept. 30, 2024 /PRNewswire/ -- Universal
Logistics Holdings, Inc. (NASDAQ: ULH) announced today its
acquisition of Parsec, LLC, Parsec Intermodal of Canada ULC, and OB
Leasing, LLC (collectively "Parsec"). Parsec is a market-leading
provider of terminal management services to the Class I, regional,
and short-line railroads across North
America. With a highly-skilled workforce of nearly 2,100
employees, Parsec offers a comprehensive suite of terminal services
at over 20 rail yards throughout the
United States and in Canada. Parsec specializes in time-sensitive,
container lift on and lift off services ensuring efficient and
reliable operations at some of the most complex rail yards across
the country. Among other services, Parsec also provides crane and
intermodal equipment repair, drayage, and container and chassis
stacking. For the trailing-twelve months ended August 31, 2024, Parsec reported total operating
revenues of $230.2 million. Parsec
will operate within Universal's contract logistics segment, and the
transaction is expected to be immediately accretive.
"I am extremely excited to welcome Parsec to the Universal
family of companies," stated Universal's CEO Tim Phillips. "This is an exciting opportunity
to build on Parsec's long-standing customer relationships and
further diversify our contract logistics service offering.
Partnering with the railroads for over 35 years, Parsec is a go-to
service provider offering rail yard terminal solutions. This
strategic acquisition further enhances our value-added service
offering, and provides Universal a meaningful presence in the rail
terminal services space. On an annualized basis, the acquisition of
Parsec is expected to boost Universal's contract logistics segment
revenues to over $1
billion."
The cash purchase price was $193.6
million, subject to customary post-closing adjustments.
Dykema Gossett PLLC and Vistula PLC served as Universal's legal
advisors on the transaction. Livingstone Partners served as
exclusive financial advisor to Parsec, and Katz Teller served as Parsec's legal
advisor.
About Universal
Universal Logistics Holdings, Inc. ("Universal") is a holding
company whose subsidiaries provide a variety of customized
transportation and logistics solutions throughout the United States and in Mexico, Canada and Colombia. Our operating subsidiaries provide
our customers with supply chain solutions that can be scaled to
meet their changing demands. We offer our customers a broad array
of services across their entire supply chain, including truckload,
brokerage, intermodal, dedicated and value-added services. In this
press release, the terms "us," "we," "our," or the "Company" refer
to Universal and its consolidated subsidiaries.
Forward Looking Statements
Some of the statements contained in this press release might
be considered forward-looking statements. These statements identify
prospective information. Forward-looking statements can be
identified by words such as: "expect," "expected to," "anticipate,"
"intend," "plan," "goal," "prospect," "seek," "believe," "targets,"
"project," "estimate," "future," "likely," "may," "should" and
similar references to future periods. Forward-looking statements
are based on information available at the time and/or management's
good faith belief with respect to future events and are subject to
risks and uncertainties that could cause actual performance or
results to differ materially from those expressed in the
statements. These forward-looking statements are subject to a
number of factors that may cause actual results to differ
materially from the expectations described. Additional information
about the factors that may adversely affect these forward-looking
statements is contained in Universal's reports and filings with the
Securities and Exchange Commission. Universal assumes no obligation
to update forward-looking statements to reflect actual results,
changes in assumptions or changes in other factors affecting
forward-looking information except to the extent required by
applicable securities laws.
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SOURCE Universal Logistics Holdings, Inc.