Why Forward Air Stock Is Advancing Today
An activist investor is calling on Forward Air (NASDAQ: FWRD) to scrap a planned $3.2 billion acquisition and focus instead on improving its internal operations. Investors bought into that concept, sending Forward shares up by as much as 7% in Tuesday trading. As of 2:30 p.m. ET, shares were still up by 4.5%.
Forward, a trucking and logistics company focused on expedited services, is working to complete a deal to acquire supply chain management specialist Omni Logistics. Forward said the deal would help funnel Omni customers to its trucks and create a one-stop shop for logistics and delivery services.
But Ancora Holdings has other ideas. On Tuesday, the activist fund said it has built a large stake in Forward Air and is opposing the deal. Ancora said it hopes to call a special meeting of shareholders to unseat members of the board, including CEO Tom Schmitt.
Source Fool.com
