From Staff & Wire Reports
Shipping giant UPS Inc. announced this morning that it is acquiring trucking firm Overnite Corp. for about $1.25 billion in cash.
Under the deal, Overnite stockholders will receive $43.25 for each Overnite share, a 46 percent premium over Overnite’s closing price of $29.58 on May 13. The buyout has been approved by Overnite’s board, according to reports, and is expected to close in the third quarter of this year.
Overnite, based in Richmond, Va., has more than 60,000 customers across North America, earned $63.3 million on revenue of $1.65 billion in 2004. With the purchase, UPS would expand its ground-transportation operations substantially.
_______________________________________
Click here to view the rest of today’s headlines.
