Ron Eschete Jr.’s Post

What's my take on the reshuffling of assets and capacity within the $58 billion less-than-truckload (LTL) sector? The bankruptcy of Yellow Corp has made one thing clear: shippers ought to be prepared to pay higher rates, perhaps 6-to-8% higher in contractual renewals. “We’re getting a consolidated industry that’s becoming even more consolidated,” Mike Regan, Co-Founder and Chief Relationship Officer, at TranzAct Technologies, said on a webinar he organized to assess Yellow’s liquidation. “The only reason we didn’t have a capacity crisis (because of Yellow’s closing) is that we’ve been in a freight recession,” Regan added. He warned that when demand returns to normalized levels, watch for LTL rates to soar.

ABF Freight, the 100-year-old LTL carrier, is considering property acquisitions from Yellow Corp.'s Chapter 11 bankruptcy to expedite its long-term terminal network expansion, according to President Seth Runser. The company has identified properties of interest but is still in the evaluation process. This move comes as ABF Freight saw a 20% increase in its LTL shipment count since June as customers shifted away from Yellow, which filed for bankruptcy. ABF Freight's growth strategy includes adding Yellow properties to its real estate portfolio. The transportation industry is closely watching developments as bidders vie for Yellow's properties in a court-supervised auction on November 27. #Transportation #Logistics #Bankruptcy #BusinessExpansion https://lnkd.in/gTcyRXvU

As an asset class, these facilities are critical to accommodate quick delivery times while at the same time increasingly difficult to get entitled and approved at the municipal level. I think time will show these acquisitions to be well worth the “freight” https://lnkd.in/gkwRvqh5

Old Dominion Freight Line bids $1.5 billion for Yellow terminals Trucking company Old Dominion Freight Line Inc. has offered $1.5 billion to acquire Yellow Corp.’s portfolio of terminals out of bankruptcy, more than a previous offer from Estes Express Lines. The offer, disclosed in papers filed Friday in Delaware bankruptcy court, exceeds the $1.3 billion proposed stalking-horse bid Estes Express announced earlier this week. Old Dominion’s offer is also a stalking horse bid, which would set the floor price for Yellow’s terminals at a future Chapter 11 auction. Read more! #cablecares #cableinsurancecompany #callcable #SedanServices #ProfessionalTransportation #limoInsurance #taxiinsurance #shuttlebusinsurance #Sedanservices #Corporatefleets #transportation #limo #NEMT #fleet #automobileparts #taxibusinessowner #nemtbusiness #Nemtowner

https://lnkd.in/gTaPAaB3 Estes is also mentioned in the article in terms of acquisition for the remains of Yellow, illustrating and interesting direction of LTL. #freightwaves

Broker Lightship Chartering buys shares in London-based brokerage Braemar for around USD 3.7m. Lightship Chartering is owned by founder and chairman Morten Have and has Sune Fladberg as CEO. ”It’s quite simple, we believe strongly in shipping in the near future and are looking for opportunities to invest further in the industry,” writes Sune Linné Fladberg in a comment to ShippingWatch about the acquisition. #shipping #freight #oceanfreight #globaltrade #investing

Estes Express Lines bid $1.525B for the #industrial #realestate portfolio — mainly #trucking terminals — of Yellow, topping a $1.5B bid by Old Dominion Freight Line. #NorthCarolina-based OD was the #stalkinghorse bid. Estes had bid $1.3B, which OD beat. The new top bid is again from Estes. Yellow valued its 170 #truckingterminals at $1.1B as it ceased #operations in July and declared #bankruptcy in August. The network includes “sought-after sites close to major metropolitan areas that are ideal for trucking and #logistics companies looking to store and deliver goods quickly to homes,” the Journal says. The companies are in the #LTL trucking market, meaning they will ship less than full truckloads of goods. #Virginia-based Estes “also offered a lower breakup fee and other financial terms” that helps Yellow pay #creditors. The new bid would also let Estes sell some terminals. #Tennessee-based Yellow is also selling its #trucks and #trailers fleet — tens of thousands of vehicles. It expects to get about $900M for them. More than 300 companies have also signed “confidentiality agreements to assess [other] assets” including equipment. Yellow is working with adviser Ducera Partners LLC. WSJ reports the $2.5B represented above would pay all of Yellow’s #debt. The terminals #auction is next month. https://lnkd.in/g5YmZNsw

Check out who is winning the bids on former Yellow Terminals check out this post out for some great insight. #freight #terminals #morethanparts

We've been updating our customers regularly on the fallout of Yellow's collapse and its impacts on the #LTL market. Recently Estes were successful in beating out rival Old Dominion in acquiring their unused terminals. Click below to see what this means moving forward as we wait for the industry to settle... https://lnkd.in/eNz6BcSs #DomesticFreight #Logistics #SupplyChain

Yellow Corp. has reopened the deadline to submit bids for its fleet of roughly 12,000 trucks and 42,000 trailers scattered across the United States, previously set for close of business Oct. 13, leaving it open likely to give potential buyers more time to conduct due diligence or line up financing. The bids on the defunct company’s real estate portfolio of roughly 140 terminals nationwide as well as other assets such as its intellectual property will continue until Nov. 28. Willing buyers should be ready to take fast action to keep pace with the speed of bankruptcy proceedings. #trucking #logistics #truckingcompany #truckingbusiness #transportation #transportationandlogistics