Werner Enterprises has announced its acquisition of dedicated fleet FirstFleet for $245 million in an all-cash deal.
A separate transaction will include its real estate assets. Werner said the deal makes it the fifth largest dedicated carrier in the United States.
FirstFleet adds 2,400 tractors, 11,000 trailers and 37 properties near customer sites to Werner’s portfolio. Werner was attracted to its long-term customer base averaging a 17-year tenure.
“Powered by the talent of our combined associates, this partnership comes at the ideal moment for our company. By uniting FirstFleet’s expertise in complementary new verticals with our resources and nearly 5,000 dedicated trucks, we will improve our competitive position and accelerate profitable growth,” said Werner’s chairman and CEO, Derek Leathers. “We have found a strong cultural fit with a shared commitment to safety, service and innovation. Together, we are better positioned to drive tech-enabled solutions and deliver lasting value for our customers, drivers and shareholders.”
FirstFleet generates more than $615 million in annual revenue and Werner expects to realize $18 million in annual synergies.
The acquisition accelerates Werner’s planned portfolio mix on dedicated freight.
“Since 1986, FirstFleet has delivered exceptional growth by treating our team members and customers like family,” said Paul Wilson, one of FirstFleet’s owners. “In choosing to combine with Werner, we are joining a leader in our industry with a proud history of caring deeply about their associates and customers. Our team has long admired Werner’s leadership, and we strongly believe this transaction is an excellent opportunity to leverage best-in-class technology and deliver significant value to all our stakeholders.”
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