Frozen Food Express to Be Acquired by Duff Brothers
Frozen Food Express Industries said Monday that has agreeed to be acquired by Duff Brothers Capital Corp. for $2.10 per share, in a deal valued at about $38.2 million.
The transaction, expected to close in August or September, was unanimously approved by FFE’s board, Frozen Food said in a statement.
Its stockholders will receive $2.10 in cash for each share of stock, representing a 23.5% premium over Friday’s closing price.
The stock was trading at just over $2 at on Monday, after closing at $1.70 on Friday. It has traded below $2 since September.
Frozen Food Express is ranked No. 61 on the Transport Topics Top 100 listing of U.S. and Canadian for-hire carriers.
“For over a year, we have been reviewing a variety of strategic alternatives for FFE, which included exiting less-profitable businesses, such as dry van truckload services, entering into the bulk-tank water transportation business, and re-engineering our [less-than-truckload] services with technology enhancements,” Frozen Food CEO Russell Stubbs said in a statement.
Duff is wholly owned by Thomas and James Duff, who also indirectly own KLLM Transport Services, which is ranked No. 69 on the TT Top 100.
“We are excited about the opportunity to add another leader in the temperature controlled trucking industry to our family group of businesses,” Thomas Duff said in a statement.
