TFI International Inc. (NASDAQ:TFII) made an announcement on Monday, according to which it has signed a definitive agreement to sell CFI’s Truckload, Temp Control and Mexican non-asset logistics businesses to Heartland Express for $525 million.
Analysts at RBC Capital take a positive view on the transaction and believe the sale positions the company favorably to execute on an acquisition into next year in areas of its strategic focus (LTL / logistics / or spec. TL).
The analysts continue to view M&A as a key catalyst for the shares and have taken higher their price target to $115 from $112 following the announcement. The analysts maintained their Outperform rating.