RXO to buy Coyote logistics from UPS; shares jump

RXO

24/06/2024 09:43

** Shares of North Carolina-based RXO  RXO.N  up 8.9% to $22
premarket
    ** RXO to buy Coyote Logistics from UPS  UPS.N  for $1.025
bln 
    ** Deal funded with mix of equity and debt, including $300
mln equity investment from MFN Partners and $250 mln equity
investment from Orbis Investments
    ** UPS bought Coyote Logistics from private equity firm
Warburg Pincus for $1.8 bln in 2015 
    ** UPS sells Coyote to allow greater focus on its core
business - CEO
    ** Out of 16 analysts tracking RXO, four rate it "buy" or
higher, while 12 rate "hold" or lower, with median PT $21
    ** RXO down 13.1% YTD, as of last close
    
    
    

 (Reporting by Pranav Kashyap in Bengaluru)
 ((Pranav.Kashyap@thomsonreuters.com;))