American Tire Acquires Am-Pac

North Carolina, US based company American Tire Distributors has purchased California based Am-Pac Tire Distributors through a stock purchase deal. The acquisition, announced in December, is said to bring together two former competitors in a way that strengthens American Tire’s geographical distribution and builds upon its existing marketing through Am-Pac’s ‘Tire Pros’ franchise programme.

American Tire bought Am-Pac from Itochu Corporation. The Tokyo, Japan-based conglomerate had owned Am-Pac since 1999. Itochu also owns leading UK tyre distribution business, Stapleton’s.

The companies have not disclosed the cash value or terms of the purchase, however in a filing American Tire lodged with the US Securities and Exchange Commission, a sum of US$75 million was disclosed for the aggregate purchase price of Am-Pac’s issued and outstanding capital stock.

American Tire serves the replacement tyre market through its 78 distribution centres, which are located in 36 states. The company has more than 2,000 employees. Am-Pac, headquartered in Simi Valley, California, has a total of around 1,000 employees.