Dive Brief:
- TFI International is buying another former Yellow Corp. terminal, this time in Fayetteville, North Carolina, according to court documents.
- Located at 1061 River Road, the property adds 17 doors, over 4,000 square feet and nearly 4 acres to the LTL carrier’s network.
- TFI bid $700,000 for the site, and a bankruptcy judge approved the deal Feb. 21.
Dive Insight:
While TFI’s acquisition would be small-scale compared to Knight-Swift Transportation Holdings’ proposed 170-door deal, the Canada-based company also previously acquired two former Yellow sites in Kentucky and California for nearly $16 million.
The investments expand TForce’s network despite CEO Alain Bédard calling its U.S. LTL operation “way too fat” amid falling volumes in 2024.
“Our focus at TForce Freight is really, really to be more lean and mean,” Bédard said in July.
The LTL unit continued to struggle in Q4, with operating income dropping by more than one-third despite improved service. The company has been plagued by missed pickups and declining shipments, Bédard told analysts last month.
Separately, TFI recently withdrew its plan to redomicile from Canada to the U.S., following shareholder feedback. The company made the case that 70% of its operations are in the U.S., and many of its shareholders are U.S.-based, too. But Caisse de Depot et Placement du Quebec, a public pension fund manager and major TFI shareholder, objected to the decision, Bloomberg reported on Feb. 20.
