In a statement XPO Logistics Inc said it plans on spinning off its warehousing and logistics business into a separate publicly traded company.
While the freight transportation and truck brokerage businesses will continue to remain with XPO, the new company will focus on e-commerce fulfillment.
The company intends to structure the separation as a tax-free transaction to XPO shareholders, and expects to complete it in the second half of 2021.
Brad Jacobs will continue to remain as the chairman and chief executive officer of XPO and he will become the chairman of the new company. The companies are expected to trade on the New York Stock Exchange.