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4 Former Yellow Terminals Sell for $6.85 Million
After filing for bankruptcy in August 2023, Yellow Corp., a significant player in the less-than-truckload (LTL) sector, has been undergoing a process of divesting its assets. Following its bankruptcy, Yellow owned 169 terminals and leased another 149, but as of late September, only 112 terminals remained under its management, consisting of 47 owned and 65 leased properties. Recent transactions have seen at least 42 terminals sold or returned. The latest sales include four terminals sold for a total of $6.85 million.
Notably, Kordun Construction acquired a New York service center for $4 million, while the other facilities went for $2 million, $600,000, and $200,000 respectively. Initially, there were plans to auction the terminals, but the process has shifted to private sales with the first two buyers being Estes Express Lines and an R+L Carriers affiliate, together purchasing 12 terminals for $192.5 million. Estes has been particularly aggressive in acquiring these assets to facilitate its growth ambitions, aiming to increase its capacity significantly by 2026.
As fewer LTL carriers are participating in these purchases, it highlights an evolving landscape in the trucking industry, where consolidation is often a strategy adopted by top players to gain competitive advantages and economies of scale. The trend indicates that the restructuring process from bankruptcies like Yellow Corp can open opportunities for thriving companies to expand their networks and increase efficiency, shaping the future of the logistics and transportation sectors.
Notably, Kordun Construction acquired a New York service center for $4 million, while the other facilities went for $2 million, $600,000, and $200,000 respectively. Initially, there were plans to auction the terminals, but the process has shifted to private sales with the first two buyers being Estes Express Lines and an R+L Carriers affiliate, together purchasing 12 terminals for $192.5 million. Estes has been particularly aggressive in acquiring these assets to facilitate its growth ambitions, aiming to increase its capacity significantly by 2026.
As fewer LTL carriers are participating in these purchases, it highlights an evolving landscape in the trucking industry, where consolidation is often a strategy adopted by top players to gain competitive advantages and economies of scale. The trend indicates that the restructuring process from bankruptcies like Yellow Corp can open opportunities for thriving companies to expand their networks and increase efficiency, shaping the future of the logistics and transportation sectors.
Vehicle Guru