XPO Logistics Might Sell One Or More Biz Units, Shares Jump 16%

(RTTNews) - XPO Logistics, Inc. (XPO) Wednesday announced that it might sell-off one or more of its business units. Shares of the company surged about 16% on the news.

CEO Bradley Jacobs said, "XPO is the 7th best-performing stock of the last decade on the Fortune 500, based on Bloomberg market data. The share price has increased more than ten-fold since our investment in 2011. Still, we continue to trade at well below the sum of our parts and at a significant discount to our pure-play peers. That's why we believe the best way to continue to maximize shareholder value is to explore our options, while remaining intensely committed to the satisfaction of our customers and employees."

XPO noted that there can be no assurance of any specific outcome. The company has not set a timetable for completion of the review process and has not determined which, if any, business units would be sold or spun off.

However, the company said does not intend to sell or spin off its North American less-than-truckload unit.

XPO closed Wednesday's trading at $82.82, up $1.24 or 1.52%, on the NYSE. The stock further gained $13.18 or 15.91% in the after-hours trade.