Forward Air to explore alternatives, including sale

U.S.-based freight forwarding company Forward Air 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 and 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 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.