Advance Auto Parts has entered into an agreement to acquire BWP Distributors in an all-cash transaction. The deal is slated for completion at the end of December.
BWP, founded in 1962, is based in Armonk, N.Y. The company currently operates or supplies 216 locations in Connecticut, Delaware, Maryland, New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island and Vermont. The acquisition will enable Advance Auto Parts to continue its expansion in the Northeast, which the company said continues to be a strategic growth area.
After the purchase, Advance will operate 124 BWP company-owned stores and will transfer the rights to distribute to 92 independently owned CarQuest Auto Parts stores to an affiliate of General Parts International Inc., a privately held auto supply company. Advance will continue to operate two of BWP’s distribution centers in Sutton, Mass., and Delran, N.J., while GPI will operate BWP’s other distribution center in Armonk, N.Y. GPI said it now serves some 3,000 stores throughout the U.S. and Canada.
“We are excited about the combination of our two businesses as it will position us for accelerated growth in the Northeast,” said Darren Jackson, Advance Auto Parts president and CEO. “This new partnership with BWP is another example of Advance’s commitment to long-term growth and serving commercial customers. With our other investments in parts, technology, systems and people, we have enhanced our ability to improve our profitability and increase value for our shareholders.”
He added that Neil Stockel, BWP president, will continue to collaborate with Advance as the company grows its commercial business.
Latest posts by Tire Review Staff (see all)
- Tire Discounters Expands Management Team - Aug 29, 2014
- Rema Tip Top/North America Inc. Forms New Division - Aug 29, 2014
- Kumho 1H Sales Down, Profits Up - Aug 29, 2014