C H Robinson Worldwide Inc has reached an agreement to acquire all of the ongoing operations and certain assets of American Backhaulers Inc (ABH) for $100 million in cash and about $36 million in newly issued C H Robinson stock. The agreement is subject to customary closing conditions and regulatory approval.
ABH is a privately held, third-party transportation provider like C H Robinson. ABH's financial performance for the first nine months of 1999 generated gross revenues of approximately $211.2 million, net revenues of about $38.3 million, and adjusted operating income of approximately $9.5 million.
ABH primarily provides over-the-road transportation services, currently serving roughly 5,700 customers throughout the United States. It has about 525 employees, most of whom are located at its Chicago IL headquarters. ABH also has smaller offices in Cary IL, Columbus OH, Atlanta GA, Minneapolis MN, Chesterfield MO, and Blacksburg VA. After the acquisition, ABH will operate as the ABH division of C H Robinson Co.
