Marietta-based logistics firm 3PD is being acquired by a Greenwich, Conn.-based transportation logistics company in a $365 million deal.
Publicly traded XPO Logistics Inc. is acquiring 3PD for $357 million in cash and $8 million of XPO restricted stock. The deal is expected to close in the third quarter of this year.
3PD, a “last-mile” logistics firm with about 650 employees, specializes in deliveries of items like furniture, appliances, large electronics and building supplies throughout the contiguous United States for retailers and manufacturers. With 28 locations, 3PD is the largest company of its kind in North America, according to XPO.
XPO, which has about 1,100 employees, said there will not be layoffs as a result of the deal, and it expects to have about 1,750 employees once the acquisition is final.
3PD, founded by Karl and Randy Meyer in 2001, generated $319 million in revenue in the 12 months ending May 31, 2013. All of 3PD’s executives will join XPO and lead the 3PD operation, which will retain its Marietta offices.
Demand for last-mile logistics of heavy goods is driven by outsourcing and expansion of e-commerce, XPO said. It said 3PD operates in a fast-growing segment that typically generates high margins and strong cash flow, with about $12 billion in spending on the services by shippers annually.
