GXO Logistics Considers Sale

GXO Logistics the supply-chain services provider that separated from XPO Inc. in 2021, is currently exploring the possibility of a sale, according to sources familiar with the situation.

GXO is reportedly collaborating with financial advisers as it considers its options following interest from potential buyers. However, no final decision has been reached, and GXO may choose to remain independent. A representative for the company declined to comment on the matter.

Following the Bloomberg News report, GXO's shares have rallied in the latter half of the week. If these gains continue, the stock is poised for its largest increase since December 2022. As of October 11, GXO's market value was approximately $7.4 billion, reflecting a 22% decrease in value since the spinoff, based on Bloomberg data.

The transportation and logistics sector frequently experiences mergers and acquisitions due to its fragmented nature, presenting opportunities for consolidation. Before spinning off GXO, XPO grew the company through various acquisitions to simplify its business structure.