Retail

Leeds West Groups Buys 42 Midas Locations

Posted on December 12, 2017

Leeds West Groups (LWG) is buying Auto Systems Experts Inc. (ASE), an employee-owned company based out of Davenport, Iowa, that operates 42 Midas locations in six states in the Midwest.

The planned acquisition includes all of ASE locations, real estate holdings, buildings, and equipment. LWG says it is the largest single acquisition by a Midas franchisee in Midas history. Alan Mahrt, the former president of ASE will serve as chief operating officer of the new division of Leeds West Groups.

LWG is a capital group that acquires, owns, and manages Midas, Big O Tires, SpeeDee Oil Change & Auto Service locations in nine states. Excluding the ASE acquisition, LWG’s properties cover more than 20% of the US in markets with 55 franchise locations in Colorado, Indiana, Illinois, Michigan, Wisconsin, New Jersey, Pennsylvania, Delaware and Connecticut.  The ASE acquisition boosts LWG’s holdings to 97 locations, across 15 states and 850 employees. The company says it will be collectively the largest Midas, Big O Tires, SpeeDee Oil Change & Auto Service automotive group in the nation.

The transaction has been approved by each ASE and LWG respective board of directors and is subject to customary closing requirements and regulatory approvals. Financial terms of the transaction were not publicly disclosed.

“This acquisition represents a powerful opportunity for LWG to significantly expand our presence in the United States in the franchise aftermarket automotive repair industry,” says Judd Kyle Shader, CEO, founder, and board of directors member of LWG. “As one of the premier automotive management companies, Leeds West Groups has clearly demonstrated its ability to apply its considerable resources and expertise to enter and lead in the franchise aftermarket automotive repair marketplace for many years to come.”

Founded in 1957, Auto Systems Experts, Inc. (ASE) is one of the oldest Midas franchisees in the country providing comprehensive diagnostics and repair of all major automotive systems. Prior to the acquisition ASE was 100% employee-owned under an employee stock option plan.

“We have worked closely with LWG in a strategic partnership over the last two years to make this acquisition a natural fit that will grow ASE for many years to come in resources and new locations, making this a seamless benefit for all,” says Alan Mahrt, former president of Auto Systems Experts.

In 2013, LWG acquired 30 Midas corporate stores in nine states in an arrangement to convert Midas corporate shops into franchised locations. At the time of the transaction it was the largest single Midas store purchase by a franchisee in the company’s history.

“The ASE and Leeds West groups represent two of the finest dealer teams within the Midas system and we are extremely excited to work with both Judd and Alan as they continue to expand into new areas and grow market share,” says Ron Seagle, vice president and general manager, Midas.

LWG is headquartered in Greenwood Village, Colo. The company is is capitalized by Private Equity and Family Office funds and acquires, owns, and manages aftermarket automotive repair franchise brands within the U.S.

There are more than 2,100 franchised and licensed Midas shops in 14 countries, including over 1,200 in the United States and Canada.

TBC Corp. serves wholesale customers in the United States, Canada and Mexico through TBC Brands, Carroll Tire Co., TBC International, and TBC de Mexico.

TBC also has more than 3,200 franchised and company-operated tire and automotive service centers under the brands Tire Kingdom Service Centers, Merchant’s Tire & Auto Centers, NTB Tire and Service Centers, Big O Tires and Midas.

Related Topics: acquisitions, Auto Systems Experts Inc., Leeds West Groups, Midas, TBC Corp.

Comments ( 0 )
More Stories
European tire shows are reaching a crisis point! Here we have Germany’s Reiffen Essen trade show, the Autopromotec in Italy and the Tire Technology Expo in Germany.
Article Saturation Point Danger for Tire Shows in Europe

With the Specialty Equipment Market Association (SEMA) Show due to take place this month in Las Vegas, which has to be one of (if not the) largest of its kind in the world, I thought it was the perfect time to take a step back and get an overall picture of what is currently happening in the tire show arena in Europe.

A special pre-event European Press Conference for Tire Cologne was staged by Koelmesse GmbH late last year.
News Tire Cologne Will Address Many Important Industry Segments

The Tire Cologne has posted a schedule of events for its first trade fair, to be held in May 29 through June 1, 2018, in Cologne, Germany. Although billed as "a trade fair for tires and wheels," it is really more than that, according to show organizers.

Nokian introduced the latest version of its all-weather tire, the WR G4, to dealers at a ride-n-drive near Denver, Colo.
News Nokian Introduces Next-Generation All-Weather and Winter Tires

Nokian Tyres plc has unveiled three next-generation products: the WR G4 all-weather tire and the studless Hakkapeliitta R3 and R3 SUV winter tires.

Be the First to Know

Get the latest news and most popular articles from MTD delivered straight to your inbox. Stay on top of the tire industry and don't miss a thing!