Covenant Transportation Group, Inc. announced it has completed the acquisition of Landair Holdings, Inc. of Greeneville, Tenn., the holding company for Landair Transport, Inc. and Landair Logistics, Inc. in a $83 million deal.

Landair is a dedicated and for-hire truckload carrier, as well as a supplier of 3PL transportation, warehousing and logistics inventory management services.

Under the terms of the agreement, CTG purchased 100 percent of Landair’s outstanding stock in exchange for approximately $83.0 million in cash. At closing, Landair also had approximately $15.5 million of debt which CTG has refinanced.

The acquisition was funded by cash on hand of approximately $45.5 million accumulated from positive operating cash flows since the end of February 2018 and approximately $53 million of previously unencumbered used revenue equipment financing.

John Tweed will continue to lead the Landair business as its President.

Landair was founded in 1981 by Scott Niswonger and Ed Sayler. Presently, Landair operates approximately 430 trucks and 900 trailers, as well as managing 12 distribution facilities covering approximately 1.8 million square feet of warehouse space. Landair generated approximately $121 million in total revenue for the year ended December 31, 2017. Approximately $60 million of Landair’s fiscal 2017 total revenue related to dedicated truckload operations, $41 million related to managed freight services and the remaining $20 million related to one-way truckload operations.

Chattanooga, Tenn.-based CTG is the parent holding company for several transportation providers, including Covenant Transport, Inc. and Covenant Transport Solutions, Inc., of Chattanooga, Tenn.; Southern Refrigerated Transport, Inc., of Texarkana, Ark.; and Star Transportation, Inc., of Nashville, Tenn. In addition, Transport Enterprise Leasing, LLC, of Chattanooga, Tenn. is an integral affiliated company providing revenue equipment sales and leasing services to the trucking industry.