Uber Freight Completes Acquisition of Transplace
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The combination of trusted services and technology solutions will reduce friction across the supply chain and enable a new era of logistics management.
SAN FRANCISCO & FRISCO, Texas--(BUSINESS WIRE)-- Uber Freight, a subsidiary of Uber Technologies, Inc. (NYSE: UBER), today announced that it has completed the acquisition of Transplace from TPG Capital for approximately $2.25 billion in an all-cash transaction. As partial financing for this transaction, Abu Dhabi Growth Fund (ADG), D1 Capital, and GCM Grosvenor invested $550 million in Uber Freight.
The transaction brings together Uber Freight’s vast network of digitally-enabled carriers with Transplace’s trusted shipper technology and operational solutions, ultimately creating one of the world’s leading logistics technology platforms to meet the rapidly evolving needs of shippers and carriers alike.
“Logistics is going through a historic transformation. Unprecedented volatility, increasing supply chain complexities, and escalating shipping costs are driving shippers to modernize their supply chains with new technologies,” said Lior Ron, Head of Uber Freight. “By acquiring Transplace, we’re able to accelerate our vision for a seamless freight ecosystem and create the world’s first true freight operating system. Combining the leading shipper network and the largest digital network of carriers will enable us to immediately unlock new opportunities and efficiencies for everyone in the value chain — shippers, carriers, and ultimately society at large.”
“Today it is more essential than ever to bring shipper and carrier networks closer together through a fully connected and transparent logistics ecosystem that addresses the evolving supply chain needs of all stakeholders,” said Frank McGuigan, CEO of Transplace. “The acquisition marks a turning point in the industry and a new era of delivering trusted outcomes by coupling best-in-class logistics platforms and managed services with the world’s premier shipper and carrier networks to dramatically increase value for customers.”
The partnership will unlock deep efficiencies and insights across $16 billion of Freight Under Management (FUM) and help reduce transportation costs, improve service, automate processes and streamline the execution of freight for shippers of all sizes. The combined networks of Uber Freight and Transplace will also form the world’s largest network of digitally-enabled carriers with a combined reach of 135,000 high quality carriers operating across an expanded set of services throughout North America and Europe, including intermodal, cross border, expedited, and more.
Morgan Stanley & Co. LLC acted as financial advisor to Uber, and Cooley LLP and Sullivan & Cromwell LLP served as legal counsel. Goldman Sachs & Co. LLC served as lead financial advisor to Transplace and TPG Capital. Harris Williams served as financial advisor. Kirkland & Ellis and Cleary Gottlieb served as legal counsel to Transplace and TPG Capital.
About Uber Freight
Uber Freight is a logistics platform built on the power of Uber with the goal to reshape global logistics and deliver reliability, flexibility and transparency for shippers and carriers. Since launching in 2017, Uber Freight has built one of the world’s largest digitally-enabled carrier networks and transformed entrenched practices around pricing and booking freight to reduce inefficiencies and increase opportunities for business growth and industry collaboration. Today, the business counts over 100,000 carriers in its network and thousands of shippers as customers, from small businesses to Fortune 500 companies, including AB Inbev, Nestle, LG, Land O’Lakes and many more.
Transplace powers one of the largest managed transportation and logistics networks in the world. Its tech-enabled services and solutions platform are backed by the combination of innovative technology and a dedicated team of domain experts, engineers and data scientists. Transplace is committed to thrilling its customers by consistently improving supply chain performance and providing greater visibility and control of their logistics networks. Companies of all sizes rely on Transplace to deliver trusted outcomes through best-in-class logistics management, strategic capacity and cross-border services.
This communication contains forward-looking statements regarding Uber Freight Holding Corporation (“Freight,” “we” or “our”) future business expectations which involve risks and uncertainties. Actual results may differ materially from the results predicted, and reported results should not be considered as an indication of future performance. Forward-looking statements include all statements that are not historical facts and can be identified by terms such as “anticipate,” “believe,” “contemplate,” “continue,” “could,” “estimate,” “expect,” “hope,” “intend,” “may,” “might,” “objective,” “ongoing,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” or “would” or similar expressions and the negatives of those terms. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. These risks, uncertainties and other factors relate to, among others: costs, expenses or difficulties related to the acquisition of Transplace, including the integration of the Transplace business; failure to realize the expected benefits and synergies of the transaction in the expected timeframes or at all; failure to accelerate Freight’s profitability in the expected timeframes or at all; the potential impact of the consummation of the transaction on relationships with our and/or Transplace’s employees, customers, suppliers and other business partners; the risk of litigation or regulatory actions to us and/or Transplace; inability to retain key personnel; changes in legislation or government regulations affecting us or Transplace; developments in the COVID-19 pandemic and resulting business and operational impacts on us and/or Transplace; and economic financial, social or political conditions that could adversely affect us or Transplace. All information provided in this communication is as of the date of this communication and any forward-looking statements contained herein are based on assumptions that we believe to be reasonable, and information available to us, as of such date. We undertake no duty to update this information unless required by law.
The forward-looking statements in this communication may also relate to the business and expectations of Freight’s parent company, Uber Technologies, Inc. (“Uber”). In addition to the risks related to the proposed transaction and the business of Freight and/or Transplace, for additional information on other potential risks and uncertainties that could cause actual results of Uber to differ from the results predicted, please see its Annual Report on Form 10-K for the year ended December 31, 2020 and subsequent Form 10-Qs and Form 8-Ks filed with the Securities and Exchange Commission (the “SEC”). Uber undertakes no duty to update this information unless required by law.
For Uber Freight:
Investors and Analysts:
Source: Uber Technologies, Inc.
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