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Chairman John Smith in February tomer relationships as well as cultivate breach of contract suit against Knight
at the Stifel Nicolaus conference in new relationships. Both Rich Logistics’ that the parties settled out of court.
Florida. “Right now I don’t see any way and Everett’s management teams will In August, Knight offered $9 per
of growing other than acquisitions. stay in place to help achieve the growth share in cash for USA Truck, which USA
There will be more consolidation.” opportunities that we collectively envi- said undervalued the company. Knight
By acquiring such businesses, a sion.” made its offer public in October, leading
carrier can expand into new markets, Ahern noted that it is not uncom- USA to file its suit that claimed Knight
as was the case when Roadrunner mon for the buyer to want to keep had improperly used confidential infor-
Transportation Systems Inc. of Cudahy, much of the acquired company’s man- mation to begin a hostile takeover.
Wis. announced in February that agement and operations team in place. Elsewhere, however, the merger and
it had acquired Little Rock-based “Strategic buyers want you to stay acquisition activity marches on.
Rich Logistics, along with Everett and help grow the company,” Ahern In 2012, Riverside Transport Inc.
Transportation Inc., a total transaction said. owners William Grojean and Terry
valued at $48 million. Other such mergers or acquisitions Wallace purchased Russellville-based
“The acquisition of Rich Logistics include Celadon snapping up North Transco Lines from Zella Harrell, whose
provides an excellent opportunity to Little Rock-based Freight Systems, one husband and company founder James
expand our truckload offering and of 17 deals Celadon, the transporta- died in 1992 and who was just shy of
broadens our access to freight going tion and logistics company based in her 78th birthday before the sale.
into and coming out of Mexico,” Indianapolis, has made in the past two “Clearly the majority of the sellers
Roadrunner President and CEO Mike years. that you see are primarily guys that are
DiBlasi said in a statement announc- Not all deals are done deals, how- 65-plus,” Batts said.
ing the deal, one of six acquisitions the ever. Knight Transportation Inc., of Batts said the owners who got
company made since 2013. Phoenix, and USA Truck Inc. of Van into the business and prospered after
“Rich Logistics’ superior service Buren recently put an end to their legal deregulation in 1980 are now reach-
standards and strong reputation will battle over Knight’s attempted, $242 ing retirement age, or beyond. Owners
allow us to strengthen its existing cus- million takeover bid, which led to USA’s of family businesses often sell out,

38 aRkaNSaS tRuckiNg RepoRt | issue 2 2014