Ryder System has sealed the deal on acquiring Cardinal Logistics, a North Carolina trucking company boasting a fleet of 2,900 power units and 3,400 drivers, as announced on February 1, 2024.
The move: With this bold acquisition, Ryder intensifies its presence in the dedicated transportation sector and gains strategic operational benefits.
- Cardinal's 200 operating locations will now be under Ryder's umbrella.
- The acquisition is seen as a move to amplify Ryder's dedicated transportation business and induce profitable growth.
- Cardinal brings extensive experience in complex routing for multiple industries, which will beef up Ryder's capabilities, particularly in e-commerce and last-mile delivery services.
Cardinal, founded in 1997 by Tom Hostetler and Vin McLoughlin, now comes full circle as the founders rejoin Ryder to ensure continuity. Both husbands of the Ryder legacy, they look forward to providing more opportunities for their staff within a larger entity and offering their longtime customers an expanded array of products and services.
Operational synergy: The acquisition paves the way for Ryder to achieve greater economies of scale and provide dynamic, resilient transportation solutions to its customers with the aid of integration and advanced visibility technology.
- Steve W. Martin, Ryder's senior vice president of dedicated transportation, emphasizes the greater flexibility and value this merger will provide to clients amidst demanding transportation needs.
The details of the acquisition's financial terms and future strategy will be further discussed in Ryder’s quarterly earnings call on February 14.