Roadway to acquire Arnold Industries for $475 million US
AKRON, Ohio (August 22, 2001) — Roadway Corp., one of North America’s largest less-than-truckload and truckload operators, announced plans to acquire Arnold Industries of Lebanon, Pa., for $21.75 US per share in cash, or approximately $475 million.
Arnold Industries and its subsidiaries, New Penn Motor Express and Arnold Transportation Services, will become subsidiaries of Roadway Corp. New Penn is a next-day, LTL carrier serving 12 Northeastern states and parts of the Southeast, Midwest, and Canada. Arnold Transportation is an irregular-route, short-haul truckload carrier.
Roadway said it has a separate agreement to buy the logistics division of Arnold Transportation for $105 million in cash after the acquisition of Arnold Industries is completed.
Credit Suisse First Boston has agreed to provide up to $700 million to finance the acquisition and provide for future working capital.
Roadway Corp. has revenues of $3.05 billion. Its operating division in Canada is Reimer Express, based in Winnipeg.
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