Monro Scoops Up Clark Tire & Auto, Plus 5 More Tire Dealers
Monro Muffler Brake Inc. has entered into an agreement to purchase all assets of Clark Tire & Auto Inc., based in Hickory, N.C. The deal includes 24 retail stores, two commercial stores, a retread plant, and four wholesale locations.
“Monro plans to continue to operate all of Clark’s locations, retain Clark’s current store associates, and grow Clark’s business,” says Joel Zaleski, vice president of acquisitions and operations support at Monro. “We are extremely pleased to welcome the outstanding team and locations of the Clark Tire and Tires Now businesses to our company.”
The acquisition is expected to be completed during Monro’s second quarter of fiscal 2017, which ends in September 2016. Zaleski says John Clark, owner and CEO, is helping with the transition.
Clark Tire & Auto is tied for the No. 42 spot on the Modern Tire Dealer 100.
Five more previously undisclosed deals are detailed in an Aug. 4 filing by Monro with the Securities and Exchange Commission. Combined, they add 11 more stores to Monro’s portfolio.
On May 8 Monro acquired one store in Florida: Pioneer Tire Pros. It’s been rebranded a Tire Choice store.
On June 19 the company acquired four stores in New Hampshire: Express Tire Centers LLC. They now operate under the Tire Warehouse name.
The next three acquisitions, plus the Clark Tire & Auto deal, are expected to close during the company’s second quarter, which will end in September.
On June 26, Monro acquired a single store in Michigan: Harlow Tire Co. It operates under the Monro name.
On July 10 the company acquired four stores in Minnesota from Task Holdings Inc. and Autopar Inc. They now operate under the Car-X brand. (Monro acquired the Car-X franchise in 2015.)
On July 17 Monro bought a store in Georgia: Kwik-Fit Tire & Service Inc. It operates under the Mr. Tire name.
Counting the 29 McGee Tire Stores Monro acquired in May, Monro has added 66 stores to its count since May 1.
That quick pace matches what Monro CEO and President John Van Heel has told investors repeatedly. In July he said, “Our confidence is underscored by our ability historically to grow our business at an accelerated pace in difficult markets through acquisitions.
“Fiscal 2017 is no exception, with 10% annualized sales growth through acquisitions already achieved in just the first four months of the fiscal year. Looking ahead, we remain very optimistic about the opportunity to complete additional acquisitions in fiscal 2017, and further leverage our flexible business model, which has allowed us to successfully navigate through any consumer or operating environment.”