XPO Board of Administrators Approves RXO Spinoff
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XPO Logistics Inc. acquired board approval to spin off its technology-based brokered operations right into a stand-alone enterprise, the corporate introduced Oct. 10.
RXO Inc. can be an impartial publicly traded firm centered on brokering full truckload freight transportation with its proprietary digital market. The board additionally permitted distribution of all excellent shares of RXO frequent inventory to holders of XPO frequent inventory.
“I’m extraordinarily happy that our spinoff has board approval and is shifting towards a Nov. 1 distribution for our shareholders,” mentioned Brad Jacobs, CEO of XPO Logistics. “XPO and RXO will every profit from a powerful board of administrators who carry beneficial views to the expansion technique. I stay up for persevering with to collaborate with Mario and his crew to create considerably extra worth in XPO with the board’s help.”
The deliberate spin-off of our tech-enabled brokered transportation platform, RXO, has been permitted by our Board of Administrators, and we’ve introduced adjustments to the XPO board post-spin. https://t.co/u0yBiuM14J
— XPO (@XPOLogistics) October 10, 2022
XPO additionally introduced the appointment of a brand new slate of board members that can be efficient as soon as the spinoff is full, together with three further administrators. Jacobs will proceed to guide the board and can function government chairman.
Johnny C. Taylor Jr., Allison Landry, Jason Aiken and Michael Jesselson will stay as administrators. The three further administrators can be Bella Allaire, Mario Harik and Irene Moshouris. Allaire is government vice chairman of expertise and operations with Raymond James Monetary. Moshouris is senior vice chairman and treasurer of United Leases.
Harik presently is XPO’s chief data officer and president of its less-than-truckload operations. He’ll develop into the CEO of the brand new firm as soon as the spinoff is accomplished.
XPO mentioned the spinoff can be effected by a professional rata distribution of all excellent shares of RXO frequent inventory to its personal stockholders. The document date for the distribution can be Oct. 20, and the distribution is anticipated to be accomplished by Nov. 1. The distribution doesn’t require shareholder approval, however it’s topic to the satisfaction or waiver of sure situations.
As soon as the distribution is accomplished, XPO will proceed to commerce on the New York Inventory Trade beneath the ticker image XPO, whereas RXO will commerce on the NYSE beneath the image RXO.
XPO Logistics ranks No. 3 on the Transport Matters Prime 100 record of the most important for-hire carriers in North America, and No. 6 on the TT Prime 100 logistics corporations record.
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