RXO, a leading provider of asset-light transportation solutions, announced it intends to make an offering of $350,000,000 of shares of its common stock. RXO’s common stock is listed on the New York Stock Exchange under the symbol “RXO.”
RXO intends to grant the underwriters of the offering an option to purchase up to an additional $52,500,000 of shares of common stock at the public offering price less underwriting discounts and commissions.
RXO intends to use the net proceeds from the offering to finance a portion of the pending acquisition of Coyote Logistics, UPS’s technology-driven, asset-light freight brokerage business. The offering is not contingent on the consummation of the acquisition. RXO expects that the acquisition will be consummated by September 20, 2024. If the acquisition is not consummated, RXO intends to use the net proceeds from the offering for general corporate purposes.
Goldman Sachs & Co. LLC, BofA Securities, Citigroup and Morgan Stanley are the joint lead book-running managers for the offering. Barclays, Wells Fargo Securities and Scotiabank are also joint book-running managers for the offering.
The offering of common stock will be made by means of a prospectus supplement under RXO’s effective registration statement on Form S-3, as filed with the Securities and Exchange Commission (“SEC”).