CEVA, formerly TNT Logistics, has agreed to acquire NASDAQ-listed EGL, Inc, a Houston-based forwarder for US$2 billion, pending shareholder ratification and regulatory approval, according to an EGL statement.
CEVA said it expects EGL's existing operations to remain unchanged and operated from its old Houston base though under a new freight management division.
"The acquisition of EGL is a transforming event for CEVA and increases the ability of both companies to serve its existing customers. We are very excited to have many of the senior leadership at EGL join CEVA," said CEVA chief executive Dave Kulik.
CEVA, a UK public company owned by affiliates of Apollo Management VI, have announced they signed a merger deal under which CEVA acquires EGL. The EGL board has approved the agreement and will recommend that EGL's shareholders approve the merger.
Thus, EGL has terminated its previous merger agreement with what has been known as the "Crane group", those affiliated with James R Crane, EGL's largest shareholder, CEO and chairman, together with investment funds linked to Centerbridge Partners and the Woodbridge Company.
EGL has paid a $30 million fee to the Crane group in connection with the termination.
With 2006 revenues exceeding $3.2 billion, EGL's services include air and ocean freight forwarding, customs brokerage, local pick-up and delivery service, materials management, warehousing, trade facilitation and procurement, integrated logistics and supply chain management services.
CEVA Logistics is a global logistics and supply chain management company that designs, implements and operates logistics systems. It employs 38,000 people and operates in 26 countries through 567 warehouses with a 7.4 million square metre capacity worldwide.
CEVA said it expects EGL's existing operations to remain unchanged and operated from its old Houston base though under a new freight management division.
"The acquisition of EGL is a transforming event for CEVA and increases the ability of both companies to serve its existing customers. We are very excited to have many of the senior leadership at EGL join CEVA," said CEVA chief executive Dave Kulik.
CEVA, a UK public company owned by affiliates of Apollo Management VI, have announced they signed a merger deal under which CEVA acquires EGL. The EGL board has approved the agreement and will recommend that EGL's shareholders approve the merger.
Thus, EGL has terminated its previous merger agreement with what has been known as the "Crane group", those affiliated with James R Crane, EGL's largest shareholder, CEO and chairman, together with investment funds linked to Centerbridge Partners and the Woodbridge Company.
EGL has paid a $30 million fee to the Crane group in connection with the termination.
With 2006 revenues exceeding $3.2 billion, EGL's services include air and ocean freight forwarding, customs brokerage, local pick-up and delivery service, materials management, warehousing, trade facilitation and procurement, integrated logistics and supply chain management services.
CEVA Logistics is a global logistics and supply chain management company that designs, implements and operates logistics systems. It employs 38,000 people and operates in 26 countries through 567 warehouses with a 7.4 million square metre capacity worldwide.