The U.S. Department of Justice has given the OK to Yellow Roadway’s buyout of USF Corp., allowing plans for the $1.37 billion deal to proceed.
Yellow Roadway and USF said in a press release that they would hold special shareholder’s meetings May 23 to consider stock options in light of the pending acquisition.
Bill Zollars, chairman of Yellow Roadway, told The Kansas City Star the merger of the two primarily less-than-truckload freight companies would give them a major advantage in the regional next-day market.
The merger could not proceed until the waiting period for the Hart-Scott-Rodine Antitrust Improvements Act – a measure passed in 1976 designed to prevent monopolies – had expired. The end of the waiting period signifies the close of the Justice Department’s Antitrust Division investigation.
The buyout of USF comes shortly after the Overland Park, KS-based Yellow bought out Roadway Corp. in late 2003, according to The Star.