Logistics Growth and Integration Visualized
Schneider Acquires Cowan Systems: A $390 Million Deal to Expand Dedicated Operations
Schneider National, a leading name in transportation, has made a bold move by acquiring Cowan Systems, LLC. This $390 million deal strengthens Schneider’s dedicated operations and expands its reach in key regions.
Cowan Systems: A Trusted Logistics Partner
Cowan Systems, founded in 1924, operates with a fleet of 1,800 trucks and 7,500 trailers. They serve industries like retail, consumer goods, and building materials across 40 locations. Their expertise includes brokerage, drayage, and warehousing, making them a strong addition to Schneider’s portfolio.
What This Acquisition Brings
With this acquisition, Schneider’s dedicated fleet will grow to over 8,400 tractors, a major increase. This positions Schneider as one of the largest providers of dedicated logistics services in the United States.
Mark Rourke, Schneider’s CEO, expressed his excitement:
“This acquisition complements our growth strategy, allowing us to serve our customers better.”
Cowan Systems Retains Its Identity
Despite the acquisition, Cowan Systems will continue to operate as a subsidiary under Schneider. Their brand and legacy will remain intact. Joe Cowan, Cowan Systems’ Chairman, shared his confidence in this partnership:
“Joining Schneider ensures our legacy will thrive and grow.”
Financial and Operational Benefits
This acquisition will positively impact Schneider’s earnings per share (EPS) within the first year. The company also expects significant operational synergies as they integrate Cowan Systems into their operations.
Why It Matters
This deal highlights Schneider’s focus on strengthening its dedicated logistics services, a growing area in supply chain management. By bringing in Cowan Systems, Schneider enhances its ability to deliver reliable, tailored logistics solutions to a broader client base.
Conclusion
The Schneider-Cowan acquisition marks a major milestone in logistics. By combining forces, these companies will deliver enhanced services, creating a win-win for both customers and stakeholders.
Source: Freight Caviar
