Greenwich, Connecticut, USA: XPO has bid successfully to buy 28 service centres of bankrupt Yellow Corp for $870m.
Yellow filed for Chapter 11 bankruptcy protection in August. The company was one of the largest less-than-truckload carriers in the US with 12,000 trucks and 35,000 trailers. XPO expects the deal, subject to court approval, to add to core profit in 2024 and adjusted profit per share from continuing operations from 2025, according to a filing on Tuesday.
XPO’s successful bid was part of a court-supervised auction that saw nearly two dozen companies, win rights to purchase Yellow’s assets for $1.88bn, as per a court filing on Monday. The US Bankruptcy Court in Delaware will hold a hearing on 12 December to approve the bids.
