Celadon Group plans to sell its trucking terminal in Laredo, Texas, to P.A.M. Transportation Services for $19.8 million, according to a filing in U.S. Bankruptcy Court for the District of Delaware.
The sale appears set to close imminently, after P.A.M. Transportation Services signed a purchase agreement last Wednesday. The deal could be finalized by this Friday.
The trucking terminal, located just off Interstate 35, sits on 53.15 acres about 19 miles north of the U.S.-Mexico border.
Celadon built the terminal in 2016. It includes a 130,464-square-foot, two-story warehouse, which includes 19,800 square feet of office space, as well as a one-story, 37,500-square-foot garage.
When Celadon built the new facility in Laredo in 2016, the company said it would eventually include as many as 40 cross docks.
Webb County, Texas, appraised the property at $12.54 million in 2019.
P.A.M. Transportation Services (NASDAQ: PTSI) is a truckload dry van carrier transporting general commodities throughout the U.S., as well as in the Canadian provinces of Ontario and Quebec.
The company also provides transportation services in Mexico through its gateways in Laredo and El Paso, Texas under agreements with Mexican carriers. P.A.M. Transportation currently has a cross-dock facility in Laredo near the World Trade Bridge.
Based in Tontitown, Arkansas, P.A.M. Transportation was founded in 1980.
P.A.M. Transportation used to operate mainly as an auto carrier, with General Motors as its largest customer, according to company officials.
In an interview with FreightWaves in October, P.A.M. CEO Daniel H. Cushman said he has made efforts to diversify the carrier's focus since he joined the company in 2009.
"I think we have clearly identified who we are, what we want to be, and being the best at what we do in every division that we participate in, and we do that extremely well," Cushman said.
Cushman said GM is still the company's largest customer, but due to diversification, it now makes up less than 20% of P.A.M.'s business.
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