Universal Truckload Services, Inc. to acquire Westport Axle Corporation
WARREN, Mich., Dec. 2, 2013
WARREN, Mich., Dec. 2, 2013 /PRNewswire/ -- Universal Truckload Services, Inc.
(NASDAQ: UACL) announced today that it will acquire the sole shareholder of
Westport Axle Corporation ("Westport") from an international industrial group
headed in Brazil by SM Brasil Participacoes S/A. Based in Louisville,
Kentucky, Westport provides value-added warehousing and component distribution
services to U.S. manufacturers of Class 4-8 trucks, RVs and super-duty
trucks. Westport also machines and distributes steering knuckles and axle
components for the automotive industry. For the year-ended December 31, 2012,
Westport had operating revenues of $58.4 million, and $66.0 million for the
nine months ended September 30, 2013.
The cash purchase price is $123.0 million and is subject to a post-closing
adjustment. To finance the acquisition, Universal anticipates increasing its
senior credit facility to $300.0 million. Universal expects to receive
regulatory approval for the transaction and close in late December 2013,
subject to customary closing conditions.
"We are very excited about the opportunities this new partnership brings to
Universal," commented Scott Wolfe, Chief Executive Officer. "The acquisition
of Westport strategically enhances our customer base by further penetrating
industrial markets, specifically to manufacturers of medium and heavy-duty
trucks. We believe that Westport's value-added services and limited capital
requirements fit nicely into Universal's business model and long-term growth
strategy. We look forward to working with Westport's proven management team
to enhance their already-strong customer relationships as we further expand
Universal's value to our customers."
Universal Truckload Services, Inc. is a leading asset-light provider of
customized transportation and logistics solutions throughout the United
States, Mexico and Canada. We provide our customers with supply chain
solutions that can be scaled to meet their changing demands and volumes. We
offer our customers a broad array of services across their entire supply
chain, including transportation, value-added, and intermodal services.
Some of the statements contained in this press release might be considered
forward-looking statements. These statements identify prospective
information. 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 the Company's reports and filings
with the Securities and Exchange Commission. The Company 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.
SOURCE Universal Truckload Services, Inc.
Contact: David A. Crittenden, Chief Financial Officer, DCrittenden@goutsi.com,
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