GREEN BAY, Wis. — True to their word, Schneider National Inc. and the Schneider Family said today that the Company has filed a registration with the U.S. Securities and Exchange Commission (SEC) relating to a proposed initial public offering of shares of the Company’s Class B common stock. Schneider, the nation’s largest truckload carrier, reported in October that such a move was imminent. The company is applying to list its Class B common stock on the New York Stock Exchange under the ticker symbol “SNDR.” The number of shares to be offered and the price range for the offering have not yet been determined, Schneider representatives stated.
“Objectives of the planned transaction are to facilitate continuity of controlling ownership of long-standing, independent, and professional, corporate governance structure,” a Schneider news release had stated.
Rather than selling most of the family-owned company on the open market, a move that typically raises a large amount of capital but can sometimes lead to the loss of controlling interest by the family, Schneider will sell a lesser amount of the company’s shares, said Noël Perry, trucking and transportation expert at FTR, a Bloomington, Indiana analyst firm, in October.
“It’s only a partial IPO,” Perry said. “They’re only putting up a portion of the stock.”
“This transaction will allow the company to continue its commitment to Wisconsin and the community,” said Garth Beyer, PR and social media account coordinator with the Hiebing Agency of Madison, Wis., when the original announcement was released, “and to maintain and further (invest) in its long-term positioning. The Schneider family and the board of directors believe the planned transaction is in the best interests of Schneider, its associates, customers, and shareholders.”
The truckload carrier is in a good position to raise capital yet retain family control and keep their management team in place, Perry said.
“The company has been doing well. This is a good time to sell stock and to get some money. This partial sale makes a lot of sense. Since the family is satisfied with the management team they (will) stay in place. It’s an opportunity to raise some money. The family gets to diversify their wealth and retain control,” Perry said.
Morgan Stanley, UBS Investment Bank and Bank of America Merrill Lynch are acting as active joint book-running managers of the proposed offering, and Citigroup, Credit Suisse, J.P. Morgan and Wells Fargo Securities are acting as passive joint book-running managers, Schneider management stated.
The proposed offering of these securities will be made only by means of a prospectus.
The Trucker staff can be reached to comment on this article at firstname.lastname@example.org.
Find more news and analysis from The Trucker, and share your thoughts, on Facebook.