Matrix Capital Markets Group advised TBC Corporation on the sale of TBC’s company operated retail businesses to Mavis Tire Express Services. The sale includes TBC’s retail network of 595 tire and automotive service centers that utilize the NTB Tire & Service Centers and Tire Kingdom Service Centers brands.
TBC, a joint venture between Sumitomo Corporation of Americas and Michelin North America, is based in Palm Beach Gardens, FL, and is a marketer of automotive replacement tires. The company executes a multi-channel marketing strategy that includes automotive retail, wholesale and distribution and franchise operations. As part of the transaction, Mavis and TBC entered into a distribution agreement through which TBC will provide tire distribution and wholesale services for Mavis retail locations.
Matrix provided merger and acquisition advisory services to TBC, which included valuation advisory; the marketing of the business through a confidential, structured sale process; and the negotiation of the transaction. The transaction was led by Stephen Lynch, CFA, CPA, managing director at Matrix, and William O’Flaherty, director at Matrix. David Shoulders, head of Matrix’s consumer and industrial investment banking group; Kyle Tipping, CFA, senior associate; Matt Oldhouser, CPA, senior associate; and Alexander Rakos, senior analyst, also advised on the transaction.
“This transaction was complex and lengthy in duration, yet the efforts, professionalism and attention to detail from the entire Matrix team have made it as seamless as possible to finalize the agreement and partnership between TBC and Mavis,” Brian Maciak, executive vice president and general counsel of TBC, said.
“We are honored to have been chosen by TBC to not only market the NTB and Tire Kingdom brands, which are both incredibly well-known and respected within the automotive industry, but also to help the company further develop this strategic partnership,” Lynch said. “The success of this transaction is a great reflection of the world-class organization that TBC and its shareholders have built, and we are very excited to watch TBC and Mavis grow and strengthen their partnership.”
“Matrix is thrilled to have achieved such an excellent outcome for our client, creating value in both the near and long term for the company,” O’Flaherty said. “We were uniquely positioned to drive value in this transaction given our rich history of multi-site retail expertise paired with our knowledge and experience in the automotive aftermarket value chain. We congratulate TBC, Mavis and their various stakeholders on this successful outcome.”
Bradley Edmister and Aafke Pronk of Hogan Lovells served as legal counsel for TBC.
