Schneider to Benefit From Cowan Systems Acquisition: Here's How

Core Viewpoint - Schneider National, Inc. is enhancing its operations through the strategic acquisition of Cowan Systems for nearly $390 million, which is expected to strengthen its position in the dedicated transportation sector [1][5]. Group 1: Acquisition Details - Schneider has agreed to purchase Cowan Systems and related entities for a cash price of almost$390 million, with an additional agreement to acquire certain real estate assets for approximately $31 million [1][2]. - The acquisition will be financed using existing cash and borrowings from a new$400 million delayed draw term credit facility [2]. - The deal is expected to close in the fourth quarter of 2024, pending customary closing conditions [3]. Group 2: Operational Impact - Cowan Systems will function as a wholly owned subsidiary of Schneider, similar to previous acquisitions like Midwest Logistics Systems and M&M Transport Services [4]. - The acquisition is projected to be accretive to Schneider's earnings per share within the first year, excluding anticipated synergies [5]. - With the addition of Cowan Systems, Schneider will operate over 8,400 Dedicated tractors, representing nearly 70% of its Truckload fleet, enhancing its status as a leading dedicated provider in the transportation industry [5]. Group 3: Strategic Vision - Schneider's president and CEO, Mark Rourke, emphasized that this acquisition aligns with the company's long-term vision of customer-centric Dedicated solutions as a cornerstone of its Truckload segment [6].