Previous Issues | Current Headlines | Point of View | Obituaries


ATD Buying Terry’s Tire Town For $365 Million

Huntersville, NC-based American Tire Distributors (ATD) has executed an agreement to acquire all of the outstanding capital stock of Alliance, OH-based Terry’s Tire Town Holdings for $365 million, subject to adjustment. Consummation of this transaction, which is subject to customary closing conditions, is expected to occur in late March or early April.

The purchase is expected to be funded by a combination of the issuance of additional debt and other resources available to ATD, including an existing credit agreement.

Founded in 1972 with a single retail store in Ohio, Terry’s later moved into the wholesale distribution segment of the business in 1984. Over the years — and facilitated by a 2010 recapitalization led by an investor group organized by Talisman Capital Partners — Terry’s expanded into the Mid-Atlantic, metro New York, New Jersey and New England via greenfield openings and the acquisitions of Summit Tire and Englewood Tire Wholesale in 2011. Terry’s exited the retail business completely by selling all seven of its retail stores in October 2011.

Terry’s Tire Town currently operates 10 distribution centers, as well as a commercial tire operation.

Although ATD is a leading replacement tire and wheel distributor, the company only recently opened in the New Jersey, Long Island and New England markets. This was done via greenfield openings over the past two years. By combining with Terry’s Tire Town, ATD will enhance its ability to service tire and auto service retailers in these markets.

ATD is one of the largest independent suppliers of tires to the North American replacement tire market. It operates 152 distribution centers, including 28 distribution centers in Canada, serving roughly 72,000 customers across the United States and Canada.

We encourage you to add your comments below concerning this article.

Back To Story List