K&M Tire Inc. has signed a definitive agreement to buy four distribution centers from Turbo Wholesale Tires LLC.
The distribution centers are located in Cadillac, Mich., Oak Park, Mich.; Kalamazoo, Mich.; and Hammond, Ind.
Turbo, which is backed by private equity firm Kingswood Capital Management LP, acquired the warehouses when it purchased Tire Wholesalers Inc. in 2023.
The deal is scheduled to close on May 16. Terms have not been disclosed.
“This strategic acquisition advances K&M’s vision to become the leading and most trusted provider of tires and services in all of its geographic markets,” said a joint statement from K&M Tire and Turbo.
“Both K&M and Turbo have their roots as family-owned, customer service-focused businesses, with similar values and cultures. This partnership will allow them to provide even greater value and service to their customers.
“K&M will partner closely with Turbo as it maintains its focus on growing its proprietary Lexani, Lionhart and Rolling Big Power (RBP) brands, while also continuing to operate its wholesale distribution location in southern California.”
Cheryl Gossard, president of K&M Tire, says her company “has had a growing interest in expanding our distribution footprint within the Midwest market. We feel that the Midwest team at Turbo Wholesale Tires fits our company culture and values and will be a wonderful addition to our team.
“We look forward to welcoming the Midwest Turbo employees to the K&M Tire team and servicing the customers in this area, while making them the most important people in our business.”
Both companies confirm that “operations will continue seamlessly during the transition.”
“We are excited to be partnering with K&M Tire in this way,” says Turbo CEO Phillip Kane. “It is an important Turbo customer and there are longstanding personal ties between our organizations. This deal made perfect sense for us and our people.
“What’s more, our agreement provides Turbo with a significant, incremental growth opportunity for our proprietary Lexani, Lionhart and RBP brands that goes well beyond the value of today’s transaction. We couldn’t be happier.”
K&M Tire has more than 40 distribution centers throughout the United States.
