ArcBest (ARCB) to Acquire MoLo Solutions

ArcBest® (Nasdaq: ARCB), a leader in supply chain logistics, today announced that it has entered into a definitive agreement to acquire MoLo Solutions, LLC ("MoLo"), a Chicago-based truckload freight brokerage. With the acquisition, ArcBest will become a top 15 U.S. truckload broker with access to over 70,000 carrier partners.

Founded in 2017, MoLo has outpaced industry benchmarks by rapidly growing its customer base and revenue – recently ranking #1 in the Transportation & Logistics industry on the "2021 Inc. 5000 Fastest-Growing Private Companies in America". MoLo revenue in 2020 equaled $274 million, an increase of more than 100% over the previous year, and MoLo expects revenue of approximately $600 million in 2021.

Strategic highlights of ArcBest's acquisition of MoLo are expected to include:

• Acceleration of Asset-Light business growth by improving ArcBest's ability to serve larger customers and expanding access to truckload capacity partners.
• Expansion of ArcBest's revenue opportunities through increased cross-selling potential, better ability to secure new customers and a strong presence in the logistics innovation hub of Chicago.
• Enhancement of shareholder value, including revenue and earnings growth and improved prospects for superior financial returns, through leveraging economies of scale and operational efficiency synergies. Expected to deliver accretion of EPS before acquisition-related amortization in the first full year of operations.
• Strengthening a shared culture of customer obsession that has driven growth and compelling performance for both companies.

"We are pleased to add MoLo's significant capabilities and talent to our truckload brokerage offering, allowing us to better meet the critical needs of our customers, deliver comprehensive supply chain solutions and accelerate our company's continued growth," said Judy R. McReynolds, ArcBest chairman, president and CEO. "Since its founding four years ago, MoLo has built a strong foundation and reputation for excellence based on trusted customer and carrier relationships, as well as a proven ability to offer unsurpassed service. Since we began discussing a possible transaction several months ago, it became clear what a great fit MoLo was with ArcBest."

McReynolds added, "ArcBest's timely investment further accelerates growth by increasing the scale of our asset-light business, and MoLo's proven ability to cultivate significant shipment growth with large shippers will be highly complementary and synergistic. This acquisition capitalizes on our terrific business momentum and positions us to enhance value for all of our stakeholders, including our customers, employees, communities and ArcBest shareholders."

ArcBest president of Asset-Light Logistics and chief yield officer, Danny Loe, said, "There is tremendous market opportunity in the truckload brokerage business, and we are pleased with continued growth and progress in that area. Our relationships are built on trust. Providing a seamless and significantly enhanced truckload brokerage offering will strengthen and grow our customer relationships. We're excited to have Andrew Silver, an experienced Chicago-based leader, overseeing that offering for ArcBest."

Andrew Silver, CEO of MoLo, said, "We have spent the last four years building a great organization, with a vision to create the best experience in the industry for our employees, drivers, and shipper partners. We believe this partnership with ArcBest further advances the opportunity we have to achieve our vision. MoLo has been able to reach $600 million in annual revenues with only 500 shippers; in doing this deal, we can now tap into ArcBest's 30,000 existing shippers and offer them the same level of service we've been providing our existing customers. In addition to that, we can now offer our customers a breadth of services we couldn't before, including owned assets, increased drop trailer capabilities, LTL, expedited, outsourced transportation management, and more. I am incredibly thankful that ArcBest sees the same potential in our people that we do. Together, we are going to accomplish great things."

Terms of the TransactionTerms of the transaction include a cash payment at closing of $235 million from available funds, subject to post-closing adjustments, and the potential for additional cash consideration based on achievement of Adjusted EBITDA targets for years 2023 through 2025 as outlined in Exhibit 99.2 of the Form 8-K filed on September 29, 2021. The acquisition is expected to close in the fourth quarter of 2021, subject to customary conditions and expiration of the applicable waiting period pursuant to the Hart Scott Rodino Antitrust Improvements Act of 1976.

AdvisorsStephens Inc. acted as financial advisor to ArcBest for the transaction while J.P. Morgan Securities LLC acted as financial advisor for MoLo. Vinson & Elkins acted as legal advisor to ArcBest. Eversheds Sutherland acted as legal advisor to MoLo.

Conference CallArcBest will host a conference call with company executives to discuss the details of the transaction. The call will be today, Wednesday, September 29, at 5:00 p.m. EDT (4:00 p.m. CDT). Interested parties are invited to listen by calling (800) 931-6428 or by joining the webcast which can be found on ArcBest's website at arcb.com. Slides to accompany this call are included in Exhibit 99.2 of the Form 8-K filed on September 29, 2021, will be posted and available to download on the company's website prior to the scheduled conference time, and will be included in the webcast. Following the call, a recorded playback will be available through the end of the day on November 1, 2021. To listen to the playback, dial (800) 633-8284 or (402) 977-9140 (for international callers). The conference call ID for the playback is 21998087. The conference call and playback can also be accessed, through November 1, 2021, on ArcBest's website at arcb.com.

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