FreightWaves: Werner Acquires Florida-Based ReedTMS Logistics for $112M

Nov 09, 2022

(Image Source: Werner Enterprises Inc.)

Earlier this week, global freight transportation and logistics service provider Werner Enterprises announced the acquisition of ReedTMS Logistics for $112.4 million. This marks the company's fourth deal ever since the new Chairman Leathers took over. Funded through Werner's existing credit facilities, the transaction also included the price of a small dedicated carrier.

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Founded in 1996, Florida-based ReedTMS is an asset-light logistics service provider that offers freight brokerage and truckload services across multiple shipper verticals. With more than 800 customers and 70,000 carriers under its wing, ReedTMS has grown its revenue at a CAGR of 28% over the last five years. The firm is also entitled to a maximum earnout of $7.5 million if the business results are outstanding in 2023. 

“We feel really good about the four acquisitions that we’ve made and how they fit into the portfolio,” Leathers added. “We’re not looking to just become a rollup company and we’re not going to stray from our stated objective, which is to always grow and invest organically in this business first and foremost. At the same time, when the right opportunities come along … we’re going to take it serious.”

According to the news release, there will not be much change in the management team of ReedTMS following the acquisition. It is said that ReedTMS will operate independently within Werner, reporting its truckload financial results through Werner's Truckload Transportation Services division.

“Werner will enable us to achieve key goals, including creating broader opportunities for our associates, expanding our service capabilities for our customers and helping us continue our quest to leverage best in class technology solutions for our associates, customers, suppliers and other stakeholders,” said Jason Reed, Chief Executive Officer of ReedTMS.

Source: Werner acquires ReedTMS Logistics in $112M deal

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