FreightVana Buys Brokerage Operations of Loadsmith
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FreightVana said it has reached a deal to acquire Loadsmith’s brokerage operations by year’s end for an undisclosed sum.
Phoenix-based FreightVana believes the deal will boost its position in the power-only brokerage segment, one in which it foresees rapid expansion. Loadsmith focuses on power-only and standard freight brokerage.
Power-only brokerage enables carriers to move freight without owning or maintaining trailers.
Led by former Knight-Swift Transportation Holdings executives, FreightVana had nearly 100 employees prior to the transaction. Once the deal closes, it will experience a roughly 55% increase in personnel, CEO Shannon Breen said in an email.
Breen
“We are thrilled to welcome Loadsmith’s brokerage entity to the FreightVana family,” he said. “This acquisition is a natural step forward in our mission to lead the power-only category with innovative solutions and exceptional service.”
The Loadsmith portfolio will introduce a few hundred trailers into FreightVana’s operations. Once the deal closes, the combined entity will have a pool of nearly 1,000 trailer units, Breen told Transport Topics.
The integration of Loadsmith’s operations into FreightVana’s business is expected to be completed within the next few months. Loadsmith CEO Brett Suma will work as a strategic advisor to Breen and his colleagues in the subsequent months and quarters.
The acquisition would lead to at least a 64% increase in FreightVana revenues in 2025, Breen said, noting that he views the business environment as poised for a rebound.
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“I believe we’ve already endured the bottom [of the freight market] and should see sequential rate improvement as we move deeper into ’25,” he said. “This is a great thing because asset fleets and folks investing in trailers like us need the market to find a better sense of equilibrium.”
Breen added, “The bottom of the market and a spot market that is well below contracts does not appropriately value or invest in the companies that have large asset investment exposure.”
Going forward, Loadsmith will focus on building out its technology arm.
Denver-headquartered Loadsmith — which also has operations in Chattanooga, Tenn., and Phoenix — inked a deal in July 2023 to equip 800 trucks with Kodiak Robotics’ self-driving technology. Loadsmith was not immediately available for comment on those plans’ progress.
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