YRC Worldwide said Monday it completed the initial closing of its the previously announced sale of a portion of its YRC Logistics unit to a private equity firm.
The gross proceeds for the transaction were about $38.7 million, of which YRC Worldwide received $33.6 million at the initial closing, with an additional $5.1 million placed in escrow, the company said in a statement.
The company said it received $33.6 million from the initial closing. The remainder was placed in escrow, with $2.3 million for further closings in the near future and another $2.8 million for indemnification purposes.
The less-than-truckload carrier sold its logistics business to Austin Ventures in an effort to focus on its core transportation services, Chairman and Chief Executive Officer Bill Zollars said in announcing the planned sale in June. (Click here for previous story.)
YRC will retain its two China-based logistics joint ventures, and will work with Austin Ventures to operate the sold business, the company said.
YRC said in June that its management team would remain with the business and there would be no change in the way a customer’s business is handled.
YRC Worldwide is ranked No. 4 on the Transport Topics 100 listing of U.S. and Canadian for-hire carriers.
