Knight-Swift, ranked No. 5 on the CCJ Top 250 list, has announced the acquisition of Dependable Highway Express (DHE), a regional less-than-truckload (LTL) carrier based in Los Angeles. This strategic move aims to bolster Knight-Swift’s LTL services on the West Coast, seamlessly integrating with its existing AAA Cooper and Midwest Motor Express operations for comprehensive coast-to-coast coverage. The financial details of the acquisition have not been disclosed.
In July 2021, Knight-Swift made waves by acquiring AAA Cooper, immediately establishing itself as a major player in the LTL sector. Later that year, the company further expanded its national LTL network by purchasing regional carriers Midwest Motor Express and Midnite Express.
“We are excited to take the next step toward building a nationwide LTL business,” said Knight-Swift CEO Adam Miller, “and especially to grow our network to include the key Southwest markets of California, Arizona, and Nevada.”
The acquisition will expand Knight-Swift’s LTL terminal and door counts by roughly 10%, extending its network to cover approximately 70% of the U.S. population.
“The strategic value of acquiring a strong Southwest competitor like DHE is meaningful, given the impact on our coverage area significantly expands the [number of] customers we can serve. Additionally, building or acquiring LTL facilities in many of these locations is difficult,” added Miller.
Dependable’s LTL division was part of the broader Dependable Supply Chain Services, which ranks No. 141. Post-acquisition, Dependable will continue to operate its truckload, warehousing, distribution, harbor drayage, and third-party logistics services under the Dependable Supply Chain Services brand.
DHE will maintain its brand identity within the AAA Cooper corporate group, with Joe Finney, the former Chief Operating Officer of DHE, stepping into the role of President.
Ronald Massman, CEO of DHE, expressed pride in the legacy his family has built and gratitude to his team. “While we never intended to sell the division, we have watched with admiration as Knight-Swift set about building a leading national LTL business. When [Knight Swift] approached us about a transaction, we immediately saw the strategic merit of the Dependable LTL division joining the platform.”
Source: Commercial Carrier Journal
