MTD Facts Issue: M&A Took a Wholesale, Commercial Turn

Jan. 31, 2023

Inflation and interest rates climbed during 2022 and the possibility of a recession hasn’t been ruled out. In theory, mergers and acquisitions should be slowing. But the opposite happened.

More tire dealership acquisitions (65) were announced during 2022 than were announced the previous year (43).

While most companies listed below did not reveal financials, the biggest retail deal — from a store count perspective — was Mavis Tire Express Services Corp.’s acquisition of Moosic, Pa.-based Jack Williams Tire Co., which was announced in April.

The transaction included 39 retail stores, plus Jack Williams Tire’s wholesale division.

Tire Discounters Inc. was the most prolific acquirer based on total number of separate deals completed. The Cincinnati, Ohio-based company acquired more than 15 other tire dealerships.

Acquisitions picked up on the commercial tire front. No fewer than five primarily commercial tire dealerships — East Bay Tire Co., McCarthy Tire Service Co. Inc., Pomp’s Tire Service Inc., Purcell Tire & Rubber Co. and Southern Tire Mart LLC — acquired other commercial tire dealerships.

Bridgestone Americas Inc.’s divestment of key GCR Tires & Service locations continued as Southern Tire Mart and Pomp’s Tire Service picked up 26 and 23 GCR locations, respectively.

On the wholesale side, U.S. AutoForce LLC acquired Max Finkelstein Inc. during the first quarter of the year. During the second quarter, Monro Inc. sold its Tires Now wholesale division to American Tire Distributors Inc. (ATD).

Shortly thereafter, ATD sold its Canada-based National Tire Distributors wholesale business to Groupe Touchette Inc., which is based in Quebec.

Kingswood Capital Management LP acquired controlling interest in Turbo Wholesale Tire during the fourth quarter.

Click on the digital edition of MTD’s 2023 Facts Issue to see a full list of tire dealership mergers and acquisitions that were announced during 2022.

The digital edition of MTD’s 2023 Facts Issue can be viewed here!