Québec-based Uni-Select, Canada’s largest provider of automotive refinish, industrial paint and greater than two million substitute components within the auto trade, is being bought by U.S.-based LKQ Corporation for roughly $2.8 billion in money.
Based in Chicago, LKQ provides aftermarket and recycled components, focusing primarily on RVs, vehicles and off-roading, towing, pace and efficiency, wheels, tires and efficiency dealing with.
Both corporations function in North America and the United Kingdom.
“This acquisition further enhances LKQ’s global automotive vehicle parts distribution business,” LKQ Corporation CEO Dominick Zarcone mentioned in a press release. “Uni-Select’s North American automotive refinish paint and mechanical components distribution operations complement LKQ’s present footprint and can permit us to distribute a broader array of merchandise to our prospects.
Uni-Select’s FinishMaster division provides paint and refinishing merchandise to automotive dealerships, collision restore centres and fleet operators, principally within the United States.
“We are additionally happy that the acquisition will permit LKQ to construct a major presence in Québec, together with Uni-Select’s Boucherville, Québec head workplace, increasing upon LKQ’s already present enterprise operations in that province,” Zarcone mentioned.
Uni-Select CEO Brian McManus mentioned the deal will mix the “complementary strengths” of the businesses.
LKQ says FinishMaster “improves LKQ’s scale and product mix to compete in this attractive and growing segment with minimal integration risk.”
The transaction worth of $48 per share represents a premium of 19.2 per cent to Uni-Select’s closing share worth on Feb. 24, 2023. LKQ intends to fund the transaction via a mix of money available and new debt.
Source: canada.autonews.com