Turbo Wholesale Tires, a designer, supplier and wholesaler of proprietary and third-party branded tires backed by Kingswood Capital Management, LP, announced that it has completed its acquisition of Tire Wholesalers Inc., a Michigan-based wholesale distributor of third-party branded tires. As part of the transaction, the Kogel family has become partial owners in the combined business alongside Kingswood and the Sepetjian family.
Ross Kogel, Jr. has been appointed chief operating officer of the company, and Ross Kogel, Sr., is serving in an advisory role, Turbo Wholesale Tires said. The combined management team will continue to report to Phillip Kane, Turbo’s CEO. Turbo says it plans to retain TWI’s name, locations, employees and ways of doing business.
Founded in 1970 by Ross Kogel, Sr., TWI says it is one of the largest independent tire distributors in the Midwest. TWI operates out of five locations, including three in Michigan, one in metro Chicago and one in Salt Lake City, Utah. TWI recently expanded its 100,000-square-foot metro Detroit facility into a new, technology-enabled, 275,000-square-foot warehouse and distribution center. This facility will be used as a template for new location growth as the company enters additional markets, the company says.
Cerberus Business Finance expanded the company’s existing debt facility to support the acquisition and increase capacity for further growth. McDermott Will & Emery LLP advised Turbo on the transaction. Honigman LLP and P&M Corporate Finance advised TWI on the transaction.
