Knight Transportation acquires Roads West
Oct 23, 2006 9:49 AM, from staff and wire reports
Knight Transportation Inc has completed the purchase of most of the trucking assets of Roads West Transportation Inc and related corporations.
Kevin P Knight, chairman and chief executive officer, said, “Roads West has a long history in the refrigerated market and also operates dry van and brokerage divisions. For the past several years, Roads West has leased space from Knight at our Phoenix terminal, so we are familiar with their leadership and operations.
“Based on Roads West’s recent interim, unaudited financial statements, we believe the acquired business generated approximately $25 million to $30 million in annual revenue, including approximately $5 million in brokerage operations. Roads West had approximately 110 company-employed drivers and 45 owner-operators before closing.
“In the acquisition, we purchased 133 tractors, 280 trailers, and miscellaneous other assets. The over-the-road fleet was comprised of 2005 model year or newer tractors. We did not purchase cash or accounts receivable. The purchase price for the assets was approximately $15.6 million, not including potential earn-outs that could increase the price to approximately $16 million.
“Casey Hughes and his team will manage the business as a separate operation, much like one of our existing 27 Knight service centers.”
© 2013 Penton Media Inc.