Former USA Truck execs buy the company, will remain based in Van Buren

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by Talk Business & Politics staff ([email protected]) ago 678 views 

Current and former execs with Van Buren-based USA Truck have acquired the trucking and logistics company less than three months after Denmark-based DSV said it would shed the division. The new owners plan to keep the headquarters in Van Buren.

UTAC, LLC is “owned by three principals with deep institutional knowledge of USA Truck and the transportation industry,” according to a Friday (Jan. 9) afternoon press release from USA Truck. No details were provided on the cost to acquire USA Truck, and DSV, a publicly-held company, has not posted a filing about the deal.

Following are the principals of UTAC.
• USA Truck CEO George Henry, who will remain as the company’s top executive
• Zachary King is a former USA Truck chief financial officer, and he will be acting CFO in the transition, according to the company.
• James Reed is a former USA Truck CEO, and is an operating partner with Banner Capital. He will work in an advisory capacity with the company.

“This return to private ownership headquartered in Arkansas reinforces USA Truck’s identity as a U.S. based carrier with deep regional roots, strong values, and a long-term commitment to customers, employees, and partners,” the company noted in a statement. “Embracing the theme, ‘USA Truck: Back and Built to Last,’ the company is affirming its dedication to operational excellence, fostering strong partnerships, and driving long-term, sustainable growth.”

George Henry

The statement said the company is “financially strong”

DSV announced in October its plans to sell USA Truck – once a publicly-held company based in Van Buren – as part of its integration of German-based DB Schenker. DSV acquired Schenker in a deal that closed in April. Schenker acquired USA Truck in a $435 million deal – $31.72 a share – that closed in September 2022.

Founded in 1983, USA Truck is a long-haul trucking and logistics/supply chain provider. The company when it sold to Schenker had about 1,900 trucks, 2,100 employees, and partnerships with more than 36,000 active contract carriers. The company also had a network of terminals in the eastern U.S., and a freight network in Mexico. USA Truck operations are still based out of Van Buren, and the company reports having more than 2,000 trucks and 6,500 trailers.

Schenker acquired USA Truck just as it was emerging from a turnaround and back into an improved financial position. USA Truck posted 2021 net income of $24.768 million, more than five times 2020 net income and a record for the trucking and logistics company. Full-year revenue was $710.387 million, up 28.9% compared with 2020 revenue of $551.138 million.

“The extensive knowledge and global supply chain insights gained under two of the world’s leading freight forwarders are now a permanent part of our operational DNA,” Henry said in Friday’s press release. “We are excited to have USA Truck return to U.S. based ownership in the great state of Arkansas, where our legacy first laid out roots.”

Kutak Rock LLP acted as legal advisor to UTAC, LLC in the transaction.