Fort Smith-based trucking and logistics company ArcBest said Tuesday it has sold its subsidiary FleetNet to Cox Automotive Mobility Solutions Inc. in a $100 million deal.
FleetNet provides fleet maintenance and repair services. The sale was finalized Tuesday and includes a cash payment at closing.
“FleetNet has been a valuable part of ArcBest, giving us insight and expertise in equipment maintenance and repair. As an integrated logistics company, it is no longer core to our growth strategy,” Judy R. McReynolds, ArcBest chairman, president and chief executive officer said in a statement.
ArcBest expects to see about $75 million after transaction costs and plans an estimated after-tax gain of about $50 million on the deal, according to a news release. Cox Automotive Mobility Solutions, Inc. is a division of Atlanta-based Cox Enterprises Inc.
ArcBest also said Tuesday its board of directors increased the total amount available under the company’s common stock repurchase program to $125 million.