HUBG - Hub Group Expands Its Final Mile Service Offering through the Acquisition of Forward Air Final Mile | Benzinga
Acquisition of Forward Air Final Mile ("FAFM") enhances end-to-end solutions for Hub Group's customers and adds significant scale and service capability in appliance delivery and installation.
Transaction Highlights
- Increases Hub Group's LTM Final Mile revenue from $192m to $481m
- Drives continued diversification into non-asset based logistics services; pro forma LTM Logistics revenue now represents 44% of total Hub revenue
- Adds new capabilities in appliance delivery and installation and increases company operated terminal footprint
- Immediately accretive to Hub Group's 2024 GAAP and cash EPS prior to expected cross-sell and operational synergies
- Meaningful cross-sell and operational synergies for FAFM's and Hub Group's customers will drive additional accretion
OAK BROOK, Ill., Dec. 20, 2023 (GLOBE NEWSWIRE) -- Hub Group, Inc. (NASDAQ:HUBG) announced today that it has acquired Forward Air Final Mile ("FAFM"), a subsidiary of Forward Air Corporation (NASDAQ:FWRD).
FAFM provides residential final mile delivery and installation of big & bulky goods, with a focus on appliances. Through a network of independent service providers and 46 company-operated facilities, FAFM has delivery coverage throughout the continental US.
FAFM adds significant appliance delivery and installation capability to Hub Group's Final Mile offering, enabling growth through cross-selling to Hub Group's customer base. The acquisition—the largest non-asset transaction in Hub Group's history—also advances Hub Group's strategy of ...