C.H. Robinson to Acquire RXO in $5.8B Logistics Deal

C.H. Robinson Worldwide has agreed to acquire RXO in a cash-and-stock transaction valued at approximately $5.8 billion, combining two transportation-services providers as the buyer seeks greater scale and productivity gains through artificial intelligence. The deal would create a company with an enterprise value exceeding $25 billion.

RXO shareholders would receive $17.25 in cash and 0.0856 C.H. Robinson shares for each RXO share. The implied consideration of $30.25 per share represents a 29% premium to RXO’s Oct. 2 closing price. Shareholders may elect cash or stock alternatives, subject to adjustments maintaining an aggregate mix of approximately 57% cash and 43% stock.

RXO shareholders are expected to own 11% of the combined company. MFN Partners, which holds approximately 17% of RXO, agreed to support the transaction, while largest shareholder Orbis Investments also endorsed it.

C.H. Robinson projects approximately $300 million in annual net cost synergies within two years of closing, primarily through operating efficiencies, shared services and applying its “Lean AI” operating model across RXO. The company plans to finance the cash portion with new debt, supported by a committed bridge facility, and pause share repurchases until leverage returns to its target range.

Closing is expected in the first half of 2027.

Morgan Stanley & Co. LLC is acting as financial advisor to C.H. Robinson, Gibson, Dunn & Crutcher LLP is serving as its legal counsel and Joele Frank, Wilkinson Brimmer Katcher is serving as its strategic communications advisor. Goldman Sachs & Co. LLC is serving as financial advisor to RXO and Paul, Weiss, Rifkind, Wharton & Garrison LLP is serving as its legal counsel.