Phoenix trucking giants Knight and Swift announced Monday they will merge to form a shipping venture with $5 billion in annual revenue.
The new company will be called Knight-Swift Transportation Holdings Inc. and remain based in Phoenix. It will have about 23,000 trucks, 77,000 trailers, and 28,000 employees operating under distinct brands.
The companies report the merger will create the "largest full truckload company," although trucking company JB Hunt Transport Services Inc. of Arkansas has a market value of more than $10 billion, compared with about $6 billion for the combined Knight-Swift.
The all-stock deal will give people who owned shares in Swift Transportation Co. 0.72 shares of the new company for each Swift share they owned, and Knight stockholders will get a 1-1 share in the new company.