Swift Transportation founder Jerry Moyes has completed his $3.6-billion acquisition of the trucking firm.
Moyes and family members acquired Swift in an all-cash transaction valued at approximately $2.74 billion. This includes the assumption of approximately $332 million of net debt.
Under the terms of the accepted agreement, Swift stockholders will receive $31.55 in cash for each outstanding share of Swift common stock. This represents approximately a 31 percent increase over the closing price of Swift stock on Nov. 3, 2006, the last trading day before Moyes made an initial proposal to acquire the company for $29 per share.
The co-founder of Swift initially offered to buy all outstanding shares of the company, and at that time offered $29 a share. That offer was $5 more per share than the stock’s trading price at that time.
In November 2004, Moyes stepped down as president of Swift after the Securities and Exchange Commission investigated him on charges of insider training. He eventually agreed to pay the SEC a $1.2 million settlement – while neither admitting nor denying the insider trader allegations.
According to SAFER, the Phoenix, AZ-based company operates more than 18,000 units, and is ranked ninth on the Transport Topics top 100 list of for-hire carriers.
Moyes has said publicly that Swift is better positioned to compete now that it’s a private company.