RADIANT LOGISTICS ACQUIRES OPERATIONS OF SEATTLE-BASED CASCADE TRANSPORTATION, INC.
Rhea-AI Summary
Radiant Logistics, a provider of global transportation and logistics solutions, announced the acquisition of Seattle-based Cascade Transportation. Cascade offers domestic and international transportation services and has been operational since 1982. The transaction is structured with a portion of the purchase price payable based on future performance. Cascade will operate under Radiant Global Logistics (RGL-SEA) post-acquisition, retaining its current leadership. The acquisition is aligned with Radiant's strategy to support logistics entrepreneurs and expand its market presence.
Positive
- Radiant Logistics expands its service capabilities by acquiring Cascade.
- Cascade's diverse account base in retail, e-commerce, furniture, and tradeshow industries adds value.
- Radiant positions itself to support logistics entrepreneurs with this acquisition.
- Cascade retains current leadership, ensuring continuity and stability.
- Structured transaction with a performance-based payment model mitigates immediate financial risk.
Negative
- Future performance-based payments may create financial uncertainty.
- Integration of Cascade could present operational challenges.
- Dependence on the successful transition of Cascade's customers to Radiant.
- Potential short-term costs associated with the acquisition and integration processes.
News Market Reaction
On the day this news was published, RLGT declined 1.13%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Founded in 1982, Cascade services a diversified account base including retail, e-commerce, production furniture and tradeshow industries. From inception through the date of acquisition, Cascade operated as part of a competing transportation group. On a post-closing basis, Cascade will continue under the current leadership and operate as Radiant Global Logistics (RGL-SEA).
David Comstock of Cascade commented, "Through years of dedicated service, our customers have always remained our top priority. We have been looking for a long-term partner with that same passion for servicing the customer and a shared vision to further advance our business: we found that partner in Radiant. We are excited to now transition the business in a way ensures the continued success of our customers and employees while also enabling the opportunity for growth as part of a larger organization moving forward."
"We are proud to announce our partnership with the entire Cascade team," remarked Radiant's Founder and CEO, Bohn Crain. "We have purposefully positioned ourselves to bring value to logistics entrepreneurs and believe that the Cascade transaction is representative of the broader pipeline of opportunities available to us in the marketplace. We are pleased to be able to support Cascade in this transition and are excited for this next chapter with David and the entire team."
About Radiant Logistics (NYSE American: RLGT)
Radiant Logistics, Inc. (www.radiantdelivers.com) is a publicly traded third party logistics company providing technology-enabled global transportation and value added logistics solutions primarily to customers based in
This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding future operating performance, events, trends and plans. All statements other than statements of historical fact contained herein, including, without limitation, statements regarding our future financial position, business strategy, budgets, projected revenues and costs, and plans and objectives of management for future operations, are forward-looking statements. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "may," "will," "expects," "intends," "plans," "projects," "estimates," "anticipates," or "believes" or the negative thereof or any variation thereon or similar terminology or expressions. We have based these forward-looking statements on our current expectations and projections about future events. These forward-looking statements are not guarantees and are subject to known and unknown risks, uncertainties and assumptions about us that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. Important factors that could cause our actual results to differ from our expectations, include but are not limited to, the performance of our historic business at levels consistent with recent trends and reflective of the synergies we believe will be available to us as a result of our recent acquisitions; and those risk factors that apply to our operations as disclosed in Item 1A of our Report on Form 10-K for the year ended June 30, 2023 and other filings with the Securities and Exchange Commission and other public documents and press releases which can be found on our web-site (www.radiantdelivers.com). Readers are cautioned not to place undue reliance on our forward-looking statements, as they speak only as of the date made. Such statements are not guarantees of future performance or events and we undertake no obligation to disclose any revision to these forward-looking statements to reflect events or circumstances occurring after the date hereof.
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SOURCE Radiant Logistics, Inc.
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