Discrete Acquisition: The Quiet Takeover of Standard Forwarding

Sakaem Logistics, a company closely tied to the family owners of Teamster-led vehicle transporter Jack Cooper, has acquired the carrier Standard Forwarding. This acquisition proceeded remarkably quietly, as neither Standard Forwarding Freight nor Jack Cooper responded to press inquiries that could confirm the change in ownership. Companies are generally inclined to announce such acquisitions to outline their market strategies and the advantages of a new ownership structure. However, in the case of Standard Forwarding, there was silence. The logistics industry is watching the developments with interest, as the companies' paths appear to be fundamentally changing. Notably, Sarah Riggs Amico, chairwoman at Jack Cooper, repeatedly attempted to acquire parts of the now-bankrupt Yellow Corp., but unsuccessfully. Jack Cooper established a new business segment in the LTL area last year. This was gradually filled with former Yellow employees, who presented themselves on LinkedIn as newly minted employees of Jack Cooper's LTL division. In a notable development, Jack Cooper recently lost its vehicle transportation contract with Ford Motor Co., its second-largest customer, leading to looming layoffs. The partnership with Ford began in 1991 and was considered particularly valuable. The impact on the more than 1,400 Teamsters-represented workers was concerning, although only certain locations will be directly affected. Jack Cooper already had to restructure under bankruptcy protection in 2019. Now the question arises as to how the company will respond to these challenges. Meanwhile, Standard Forwarding, which reportedly had been struggling even before Jack Cooper's interest, may have found a much-needed savior.