XPO Explores Sale of European Transportation Business
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XPO Inc. has revived a sale of its European transportation business, according to people familiar with the matter, almost two years since it last scrapped the attempt to divest the operation.
The New York-listed logistics firm has been working with advisers and sounding out potential buyers for the business, which includes truckload and freight forwarding services, the people said. The unit could fetch as much as $2 billion in a sale, one of the people said.
XPO ranks No. 5 on the Transport Topics Top 100 list of the largest for-hire carriers in North America.
Deliberations are ongoing and XPO could decide to hold onto the assets for longer, said the people, who asked not to be identified because the information is private.
A representative for XPO declined to comment.
XPO unveiled plans in 2022 to split its freight brokerage and North American trucking operations into two publicly traded companies, leaving it to focus on the so-called less-than-truckload business of smaller shipments. The European business was to be unloaded through either a sale or listing on a European stock exchange, the company said at the time. Nine months later, XPO said it wouldn’t divest the European unit, citing weakened capital markets.
Shares of XPO have risen 59% in the past year, giving the company a market value of about $13.6 billion. In 2023, XPO generated about 60% of its revenue in the U.S., with the rest coming from Europe, according to data compiled by Bloomberg.
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