Velocity Express agreed to acquire CD&L for $3 per share. The combined operations will comprise North America's largest time-critical logistics company. The two companies hope to leverage shared service areas in 25 states to create synergies for same-day deliveries. With a total of 5,500 independent contractor drivers, revenue is expected to exceed $450 million annually.
CD&L Board Director Thomas E. Durkin III will coordinate integration and join the Velocity Board. The senior management staff of CD&L will also take key executive positions in Velocity Express. Executives coming aboard include Bill Brannan, President and COO, Michael Brooks, Group President, Russ Reardon, CFO, and Mark Carlesimo, General Counsel.
Velocity has already acquired in private transactions 49 percent of CD&L's common shares. The full merger is expected to close in mid August.