TBC Corp. (Palm Beach Gardens, FL), one of the largest marketers of replacement tires in the United States, completed its acquisition of Itasca, IL-based Midas Inc. on April 30. The transaction is valued at roughly $310 million, including the assumption of approximately $137 million in debt and pension liabilities.
TBC is not only one of the nation’s largest marketers of automotive replacement tires. The company’s retail group operates more than 1,200 franchised and company-owned tire and service centers under the brands Tire Kingdom, Merchant’s Tire & Auto Centers, National Tire & Battery (NTB) and Big O Tires. The addition of Midas nearly doubles that, adding nearly 2,250 franchised, licensed and company-owned Midas shops across 14 countries — roughly 1,500 of which are in the United States and Canada — as well as 160 SpeeDee Oil Change centers in the United States and Mexico.
Larry Day, TBC chairman and CEO, called Midas a terrific fit for TBC’s retail group. “We’re going to capitalize on all the opportunities and synergies created by the power of our franchise and company-owned operations to most effectively meet the growing needs of today’s tire and automotive service consumer,” Day said in a statement issued after the deal closed on April 30. “In addition to our commitment to consumers, we are dedicated to strengthening the success of our franchisees. They are a significant part of the industry and play a critical part in the success of our strategic plan.”
As a result of the transaction, Midas’ common stock will cease trading on the New York Stock Exchange (NYSE).