Covenant Transportation Group (CCJ Top 250, No. 39) announced July 5 it has acquired another CCJ Top 250 fleet in Landair Holdings (No. 226), the holding company for Landair Transport and Landair Logistics.
Covenant acquired all of Landair’s outstanding stock for approximately $83 million and assumed $15.5 million in Landair debt. Last year, Landair generated approximately $121 million in revenue.
The purchase adds 430 trucks and 900 trailers to Covenant’s fleet, as well as 12 distribution facilities covering about 1.8 million square feet of warehouse space. Covenant currently has approximately 2,559 tractors and 7,134 trailers.
According to a press release from Covenant, John Tweed will continue in his role as president of Landair, and Covenant plans to maintain Landair’s Greenville, Tenn., headquarters.
The acquisition is expected to add in the range of 4 to 8 cents per diluted share to Covenant’s consolidated earnings for the second half of fiscal year 2018, and between 16-20 cents per diluted share for the full 2019 fiscal year.