U.S. Markets open in 27 mins

C.H. Robinson to Acquire Prime Distribution Services

C.H. Robinson (Nasdaq: CHRW) today announced it has entered into a definitive agreement to acquire Prime Distribution Services ("Prime"), a leading provider of retail consolidation services in North America, from Roadrunner Transportation (NYSE: RRTS). The agreement is subject to certain customary closing conditions, including regulatory approval.

Prime had $108.7 million in total revenues for the fiscal year ended December 31, 2019. C.H. Robinson intends to purchase Prime for approximately $225 million in cash. The acquisition is expected to be slightly accretive in 2020 and will be financed through cash on hand and funds drawn from C.H. Robinson’s existing credit facilities.

"Prime Distribution Services is a high-quality growth company that brings scale and value-added warehouse capabilities to our retail consolidation platform, adding to our global suite of services," said Bob Biesterfeld, C.H. Robinson Chief Executive Officer. "Prime has an outstanding track record of success, a talented and experienced team and a focus on delivering great value to its customers and carriers."

Prime Distribution Services provides a comprehensive suite of retail consolidation solutions, including distribution, fulfillment and inventory management, and currently operates as a wholly-owned subsidiary of Roadrunner Transportation. Founded in 1990 and headquartered in Plainfield, Indiana, Prime employs approximately 270 people and has five fulfillment and distribution facilities totaling approximately 2.6 million square feet across the United States. Prime currently serves approximately 140 customers.

"Prime Distribution brings capabilities and synergies to our North American Surface Transportation business and allows us to provide a strategic advantage for our customers delivering to retailers," said Mac Pinkerton, President of North American Surface Transportation of C.H. Robinson. "We are excited to welcome the talented team at Prime to C.H. Robinson, and we will work hard to create even more value for our combined set of employees, customers and carriers."

"In joining C.H. Robinson, Prime begins an exciting new chapter," said Bill Vechiarella, President of Prime Distribution Services. "We believe this combination will position us well to continue to provide excellent service to our customers and foster growth by leveraging C.H. Robinson’s scale, expertise and core service offerings."

Once the deal closes, C.H. Robinson will integrate Prime Distribution Services into its North American Surface Transportation division and single global, multimodal technology platform, Navisphere®.

About C.H. Robinson
C.H. Robinson solves logistics problems for companies across the globe and across industries, from the simple to the most complex. With nearly $20 billion in freight under management and 18 million shipments annually, we are one of the world’s largest logistics platforms. Our global suite of services accelerates trade to seamlessly deliver the products and goods that drive the world’s economy. With the combination of our multimodal transportation management system and expertise, we use our information advantage to deliver smarter solutions for our more than 119,000 customers and 78,000 contract carriers. Our technology is built by and for supply chain experts to bring faster, more meaningful improvements to our customers’ businesses. As a responsible global citizen, we are also proud to contribute millions of dollars to support causes that matter to our company, our Foundation and our employees. For more information, visit us at www.chrobinson.com (Nasdaq: CHRW).

About Prime Distribution Services
Prime Distribution Services provides a comprehensive suite of Retail Consolidation solutions. With five food grade warehouse facilities strategically located across the nation and a team of retail supply chain experts, Prime is dedicated to helping its clients achieve compliance with large U.S. retailer delivery requirements while delivering transportation cost savings. For more information, please visit the Prime Distribution Services website at www.prime3pl.com.

Forward-Looking Statements
Except for the historical information contained herein, the matters set forth in this release are forward-looking statements that represent our expectations, beliefs, intentions or strategies concerning future events. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from our historical experience or our present expectations, including, but not limited to whether and when the required regulatory approvals will be obtained, whether and when the closing conditions will be satisfied, whether and when the transaction will close, whether and when the Company will be able to realize the expected financial results of the transaction, and how customers, competitors and employees will react to the transaction, as well as other risks and uncertainties detailed in our Annual and Quarterly Reports. Any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to update such statements to reflect events or circumstances arising after such date.

Source: C.H. Robinson

CHRW-IR

View source version on businesswire.com: https://www.businesswire.com/news/home/20200128005782/en/

Contacts

FOR INVESTOR INQUIRIES, CONTACT:
Robert Houghton, Vice President – Corporate Finance
Email: robert.houghton@chrobinson.com

FOR MEDIA INQUIRIES, CONTACT:
Kristin Marchiafava, Director of Public Relations
Email: kristin.marchiafava@chrobinson.com

  • The Dow just logged its worst 2-day percentage drop in two years — here are 5 reasons the stock market is tanking, and only one of them is the coronavirus
    Business
    MarketWatch

    The Dow just logged its worst 2-day percentage drop in two years — here are 5 reasons the stock market is tanking, and only one of them is the coronavirus

    The U.S. stock-market rally is unraveling, with a period of historic gains coming to a screeching halt, as fear that the coronavirus epidemic may reach America rattles Wall Street. The Dow Jones Industrial Average (DJIA)was off 929.92 points, or 3.3%, at its Tuesday nadir, at 27,030.88, a day after the blue-chip benchmark suffered a drop of more than 1,000 points, representing the third worst one-day point drop in the index's 124-year history. The Dow finished Tuesday down nearly 880 points to mark its sharpest-ever two-session slide in point terms, losing about 1,910 points, according to Dow Jones Market Data.

  • Billionaire George Soros Snaps Up These 3 “Strong Buy” Stocks
    Business
    TipRanks

    Billionaire George Soros Snaps Up These 3 “Strong Buy” Stocks

    George Soros may be a lightning rod for political controversy, but everyone can agree that he's a market and financial genius. In recent years, Soros has made public predictions on the move to regulate internet giants Facebook and Google as public utilities, on the 'bubble' nature of cryptocurrency, and on the Democrats' off-year victory in the 2018 elections. Soros has a positive genius for finding them, and reaping their gains.

  • Business
    TheStreet.com

    TurboTax Shares Top 4 Red Flags That Trigger an IRS Audit

    The Internal Revenue Service uses a combination of automated and human processes when selecting which tax returns to audit. All tax returns are compared with statistical norms, and those with anomalies undergo three layers of review by personnel. Certain red flags are sure to draw scrutiny and some are easy to sidestep—unreported income, for example.

  • El-Erian says ‘continue to resist’ buying the stock-market dip after virus-inspired plunge
    Business
    MarketWatch

    El-Erian says ‘continue to resist’ buying the stock-market dip after virus-inspired plunge

    Economist Mohamed El-Erian on Tuesday reiterated his call to resist automatically buying the dip after coronavirus-inspired stock-market selloffs. That was the widely followed investor and chief economic adviser to Allianz in an interview with CNBC ahead of Tuesday's opening bell. Stocks opened moderately higher, but then turned south, a day after the Dow Jones Industrial (DJIA) tumbled more than 1,000 points, with the blue-chip gauge and the S&P 500 (SPX) both falling more than 3% for the biggest one-day drop since February 2018.

  • What to expect from Beyond Meat earnings
    Business
    Yahoo Finance Video

    What to expect from Beyond Meat earnings

    Beyond Meat is set to report quarterly earnings after the bell on Thursday. Yahoo Finance's Heidi Chung breaks down what to expect. Dan Roberts and Payne Capital Management President Ryan Payne join in on the conversation.

  • 400 jobs at stake as Panasonic pulls out of Tesla solar factory
    Business
    American City Business Journals

    400 jobs at stake as Panasonic pulls out of Tesla solar factory

    Panasonic will cease production at Tesla's Gigafactory 2 in Buffalo on May 30. The Japanese corporation intends to lay off its 403-person workforce in Buffalo in phases this summer. The operation must be decommissioned and cleaned following the May 30 manufacturing shutdown, sources have told Business First.

  • Buffett is bullish on stocks but says the market can drop 50% — is he wrong?
    Business
    MarketWatch

    Buffett is bullish on stocks but says the market can drop 50% — is he wrong?

    Stock market investors are watching the coronavirus spreading far beyond China. It is no longer mostly in Asia. Italy has reported six coronavirus deaths and an accelerating number of cases.

  • I’m 59, and my husband and I earn $500,000 a year — but have credit card debt and nothing saved for retirement. What should we do?
    Business
    MarketWatch

    I’m 59, and my husband and I earn $500,000 a year — but have credit card debt and nothing saved for retirement. What should we do?

    What's the difference between a 401(k) and a Roth 401(k)? A deep look into the different retirement accounts available - 401(k), Roth 401(k), IRA, Roth IRA - and how to tell what's best for you. It's also important that you use this time to make a budget and see where you can make larger cuts in your spending to free up as much cash as you can, Bruggeman adds.

  • Coronavirus is 'worst supply chain disruption I've ever seen': Toy CEO
    Business
    Yahoo Finance

    Coronavirus is 'worst supply chain disruption I've ever seen': Toy CEO

    MGA Entertainment founder Isaac Larian has been in the toy business for 41 years, and in this long tenure, he says he's never seen anything impact the industry as much as the coronavirus. China is by far one of the world's largest maker of toys; the country manufactures about 85% of U.S. toys. The deadly coronavirus has killed more than 2,600 people in China, and also slowed manufacturing output.

  • P&G alum’s firm launches coronavirus face mask
    Business
    American City Business Journals

    P&G alum’s firm launches coronavirus face mask

    Cincinnati native James Michael Lafferty, a former Procter & Gamble Co. executive who is now CEO of Fine Hygienic Holding, said his company has just begun selling a reusable face mask designed to guard against the deadly new strain of coronavirus. Procter & Gamble was among the first companies to buy the Fine Guard brand of masks to equip its employees in China, where the coronavirus originated, Lafferty said. P&G, the Cincinnati-based maker of consumer goods such as Pampers diapers and Bounty paper towels (NYSE: PG), has more than 8,000 employees in Greater China.

  • How Does Alpha Pro Tech's (NYSEMKT:APT) P/E Compare To Its Industry, After Its Big Share Price Gain?
    Business
    Simply Wall St.

    How Does Alpha Pro Tech's (NYSEMKT:APT) P/E Compare To Its Industry, After Its Big Share Price Gain?

    It's really great to see that even after a strong run, Alpha Pro Tech (NYSEMKT:APT) shares have been powering on, with a gain of 67% in the last thirty days. All else being equal, a sharp share price increase should make a stock less attractive to potential investors. In the long term, share prices tend to follow earnings per share, but in the short term prices bounce around in response to short term factors (which are not always obvious).

  • Suze Orman says investors should ‘rejoice’ at the stock market’s big drop — here’s why
    Business
    MarketWatch

    Suze Orman says investors should ‘rejoice’ at the stock market’s big drop — here’s why

    Author and personal-finance expert Suze Orman had a simple two-word answer to the question of how to react to the Dow Jones Industrial Average that just shed more than 1,000 points on Monday on the back of growing uncertainties, including the spread of the coronavirus outbreak. Orman said Monday on CNBC that investors should stay the course and explained why she thought investors worried about their retirement savings after a historic downturn for the Dow should welcome such selloffs.

  • News
    U.S.News & World Report

    10 Costs to Include in Your Retirement Budget

    Medicare premiums Most people don't pay a premium for Medicare Part A hospital insurance, but Medicare Part B medical insurance charges a standard premium of $144.60 in 2020. Medicare Part D prescription drug plans charge a separate premium that varies depending on the plan you select each year. And there might be a third premium if you select a Medigap plan that will pay for some of Medicare's out-of-pocket costs.

  • Silver Price Forecast – Silver Diverges From Gold
    Business
    FX Empire

    Silver Price Forecast – Silver Diverges From Gold

    Silver markets fell hard during the trading session on Tuesday, breaking back down below the $18.50 level. Silver is an industrial metal as well as a precious metal, so keep that in mind. Given enough time it's likely that the markets will continue to go higher as we were about the coronavirus and perhaps even more importantly: central bank loose monetary policy which will drive precious metals higher over the longer term.

  • Business
    Thomson Reuters StreetEvents

    Edited Transcript of AMRN earnings conference call or presentation 25-Feb-20 9:30pm GMT

    Examples of such statements include, but are not limited to, our current expectations regarding our commercial and financial performance, including levels of Vascepa prescriptions; Vascepa product and licensing revenues, costs and other commercial metrics, gross margin, expenditures, such as for the purchase of additional supply of Vascepa, and the adequacy of our financial resources; our current expectations for additional scientific presentations, publications, medical guidelines and regulatory reviews outside the United States and related timing thereof; our plans and preparation for expanded promotion of Vascepa and related market positioning and potential, including the potential for fu...

  • Warren Buffett’s Berkshire Hathaway hailed as the ‘No. 1 retirement stock in America’ by former hedge-fund manager
    Business
    MarketWatch

    Warren Buffett’s Berkshire Hathaway hailed as the ‘No. 1 retirement stock in America’ by former hedge-fund manager

    Your retirement is safe in the hands of Warren Buffett. At least that's the message former hedge-fund manager Whitney Tilson, who now runs Empire Financial Research, has for investors approaching their golden years, according to a note published by ValueWalk this week.

  • European stocks sink again as coronavirus panic deepens
    Business
    Yahoo Finance UK

    European stocks sink again as coronavirus panic deepens

    European stocks fell yet again on Wednesday amid growing fears about the spread of coronavirus and its impact on the world's major economies, with officials now warning that an outbreak in the US is likely. The pan-European STOXX 600 index (^STOXX), which has already had two days of sharp losses, fell by more than 1.5% on Wednesday morning. “European equities are deep in the red again after Wall Street capitulated on Tuesday on mounting [coronavirus] pandemic fears, and Asia once again took a dive overnight,” said Neil Wilson, the chief markets analyst of Markets.com.

  • Stocks sink as CDC warns of likely coronavirus outbreak in United States
    Business
    Yahoo Finance Video

    Stocks sink as CDC warns of likely coronavirus outbreak in United States

    Martin Currie Head of Investment Strategy Kim Catechis joins Yahoo Finance's Seana Smith to discuss the market reaction as stocks plunge for a second day in a row amid renewed coronavirus concerns on The Ticker.

  • Business
    TheStreet.com

    Tech Stocks on Sale: Which Should You Buy?

    Consider that the nearly 8% decline in Apple shares in the last day and a half represents a loss of roughly $109 billion. The S&P is trading at about 17 times projected earnings per share for this year. Apple, at a closing price Tuesday of $288.08, has erased its gains since the end of 2019, but it's still rather pricey by historical standards, trading at 21 times the $13.60 the company may earn in the year ending this September.

  • Dow Jones Futures Volatile As Coronavirus Stock Market Sell-Off Continues; Disney, Salesforce, Virgin Galactic, Insulet Move On News
    Business
    Investor's Business Daily

    Dow Jones Futures Volatile As Coronavirus Stock Market Sell-Off Continues; Disney, Salesforce, Virgin Galactic, Insulet Move On News

    Dow Jones futures rose Wednesday in volatile fasion along with S&P 500 futures and Nasdaq futures, signaling a rebound amid the coronavirus stock market sell-off. Meanwhile, several notable stocks were set to break or test level on news. Disney CEO Bob Iger announced Tuesday that he'll step down immediately.

  • The coronavirus is a serious concern but the stock market’s selloff is not
    Business
    MarketWatch

    The coronavirus is a serious concern but the stock market’s selloff is not

    The coronavirus was first identified in January in China, but investors in U.S. stocks paid it little mind. Just last week, both the S&P 500 (SPX) and the Nasdaq Composite (COMP) hit all-time highs, a feat the Dow Jones Industrial Average (DJIA) had achieved the week before. But after reports that highly contagious COVID-19, the disease caused by a new strain of coronavirus, had spread beyond China to Japan and South Korea, stocks began to slip.

  • Business
    Financial Times

    Fuel-cell producers jump on new hydrogen ‘hype cycle’

    in more than a decade, as investors bet that efforts to cut emissions will make hydrogen a viable alternative to fossil fuels in vehicles. For backers of this alternative fuel source, it has been a long wait for interest to rekindle since a brief flare-up more than 20 years ago. The current wave of optimism has lifted the share price of London-listed Ceres Power — a maker of fuel cells, which turn hydrogen and oxygen into electricity — by 57 per cent so far this year, notwithstanding the fact that the company has yet to turn a profit.

  • Business
    Thomson Reuters StreetEvents

    Edited Transcript of EXEL earnings conference call or presentation 25-Feb-20 10:00pm GMT

    Q4 2019 Exelixis Inc Earnings Call

  • Business
    Barrons.com

    GE’s Annual Report Is Out. We Read It So You Don’t Have To.

    (GE) management has released its 2019 annual report, in which CEO Larry Culp reviewed the year and the company provided disclosures about cash flow, debt, pensions and the 737 MAX. The number of pages in an annual filing, of course, doesn't say anything material about a company or its stock. Often times, debt or merger agreements can get appended to annual reports, dramatically increasing the length of a filing.

  • U.S. Stock Market Appears Most Vulnerable to Virus Shock
    Business
    Bloomberg

    U.S. Stock Market Appears Most Vulnerable to Virus Shock

    By any measure of price relative to earnings, the FANG index is nearly as expensive as the Russell 1000 Growth Index was at the peak of the dot-com mania two decades ago — or even more so. The price-to-earnings ratio of the FANG index is 34 based on analysts' estimates of this year's earnings per share, which is just 6% cheaper than the comparable P/E ratio for the growth index in March 2000. Other measures are even less flattering.