Swift Transportation Rejects $2.2 Billion Takeover Offer [New York Times]
Summary:Swift Transportation rejected a $2.2 billion buyout offer from ousted CEO and founder Jerry C. Moyes, although the trucking company says it may consider other bids. Swift indicated the amount was "indadequate" and did not fully reflect the company's value. Moyes, who was dismissed from his position last year because of an options-backdating scandal, indicated in a letter that he may increase his offer. Moyes, who founded the company in 1966 and holds 38% of its shares, offered a premium of 20.6 percent over Friday's closing price of $24.05. Swift's shares rose 3% or 75 cents to $28.36.
Related links: The Street.com. Commentary: Ousted Swift Transportation CEO Moyes Tries To Buy Company • Landstar's Success is Due to Their Business Model • Trucker C.H. Robinson's Strategy of Not Owning Its Trucks Pays Off
Potentially impacted stocks and ETFs: Swift Transportation Co. Inc. (SWFT) • Competitors: JB Hunt Transport Services Inc. (JBHT), Landstar System Inc. (LSTR) and Werner Enterprises Inc. (WERN)
Seeking Alpha is not affiliated with New York Times.