WESTPORT, Conn. (AFX) - Shareholders of CD&L Inc. have approved a previously announced takeover by rival package delivery company Velocity Express for about $66 million, or $3 per share.
When the acquisition was first announced last month, the purchase price represented a premium of 36 percent over CD&L's per share price.
Velocity Express said the acquisition of South Hackensack, N.J.-based CD&L creates a logistics company with more than $440 million in annual revenues. The combination is expected to result in operational cost savings of more than $38 million over the next 18 months, the company said.
The new company will operate under the Velocity Express name and will be headquartered in Westport, Conn.
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