U.S.-based freight forwarding company Forward Air (NASDAQ: FWRD) said on Monday its board had initiated a comprehensive review of strategic options including a merger or a sale of the company.
The move comes nearly five months after activist investor Ancora Holdings reportedly urged Forward Air to consider a sale, and warned a board challenge might follow if investors’ calls for action are ignored.
Forward Air said it had not set a timetable for the conclusion of the review, nor had it made any decisions related to any further actions at this time.
Shares of the company, with a market cap of $966 million, rose about 2% in premarket trading.
Forward Air (NASDAQ: FWRD) also said it had taken additional steps to cut operating expenses in the fourth quarter of 2024 by reducing workforce, consolidating terminal operations, and limiting the use of third-party vendors. The steps are expected to result in about $20 million in savings on an annualized basis.
Goldman Sachs & Co LLC is serving as financial adviser on the review and Jones Day as Forward Air’s legal counsel.
