Logistics giant UPS says the company has entered into an agreement to sell its Coyote Logistics business unit to RXO, Inc., for $1.025 billion.
UPS CEO Carol Tomé says, “As UPS positions itself to become the premium small package provider and logistics partner in the world, the decision to sell our Coyote Logistics business allows us to focus even more on our core business.”
RXO, Inc. offers transportation solutions. In announcing the deal, RXO’s CEO Drew Wilkerson says the acquisition of Coyote will immediately increase the scale of RXO’s brokerage business.
Coyote Logistics cargo handling
Coyote Logistics, based in Chicago, is a top global third party logistics (3PL) provider, partnering with 100,000 carriers and handling 10,000 loads daily.
Pending regulatory approval, the deal is expected to close by the end of the year. After the deal is complete, the company will update its financial forecast.
UPS midnight pickups for Taiwan-Europe shipments
In May, UPS introduced midnight pickups for Taiwan-Europe shipments.
Why does Europe matter to the logistics sector? Europe’s central location between the Americas, Asia, and Africa makes it a key hub for global trade. Major ports like Rotterdam, Hamburg, and Antwerp serve as critical entry and exit points for goods, facilitating international logistics operations.
UPS Healthcare
UPS Healthcare is the company’s healthcare arm – and on a quest to become the world’s number one complex healthcare logistics provider. The company recently unveiled its first pharmaceutical logistics facility in Ireland. The business is even making strides in Italy, where it has expanded operations.
What do you do in a pharmaceutical warehouse?
Pharmaceutical logistics is vital because it ensures that medications and vaccines remain effective and safe from the point of manufacture to the end-user.
In the healthcare industry, pharmaceutical products are kept in temperature-controlled environments to maintain their efficacy and safety.
How big is the logistics market in the US?
Research and Markets reports the North American logistics market was valued at US$ 1.44 trillion in 2023. “The growing international trade, expanding e-commerce sector, numerous technological advancements in the logistics industry, and changing consumer preferences toward quick delivery services are some of the major factors propelling the market,” reads the report.
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Photo Credit: UPS
About the author
Sharl is a qualified journalist. He has over 10 years’ experience in the media industry, including positions as an editor of a magazine and Business Editor of a daily newspaper. Sharl also has experience in logistics specifically operations, where he worked with global food aid organisations distributing food into Africa. Sharl enjoys writing business stories and human interest pieces.
