Cudahy, WI – May 2, 2017 – Roadrunner Transportation Systems, Inc. (“Roadrunner”) (NYSE: RRTS), a leading asset-right transportation and asset-light logistics service provider, announced today an approximately $540 million redeemable preferred stock investment from affiliates of Elliott Management, a private investment firm which is an existing holder of approximately 8.6% of Roadrunner’s common shares.
Proceeds from Elliott Management’s investment were used to pay off and terminate the company’s senior credit facility and to provide working capital to support the company’s current operations and future growth. The company expects that approximately $240 million of the new preferred stock investment will soon be replaced with a new asset-based lending (“ABL”) facility with a group of commercial lenders, which may include members of the company’s previous bank group.
Read more at www.rrts.com