CHICAGO --
LKQ Corp. today announced several new acquisitions. The company has acquired aftermarket business Global Automotive Parts, which operates from three warehouses located in the Los Angeles, CA, Portland, OR and Seattle, WA markets. The business reported 2005 revenue of approximately $11 million.
LKQ also bought three recycled parts facilities in Western Michigan with a total footprint of approximately 25 acres and three facilities in the Tulsa, OK, market with about 40 acres. Combined, these businesses consist of four operations that sell primarily into the retail market and two facilities that sell primarily into the professional repair market. These two businesses reported 2005 revenue of approximately $9 million.
Terms of these transactions were not disclosed. The company said these businesses will generate approximately $13 million of
revenue and 1 cent of diluted earnings per share for LKQ during its period
of ownership in 2006.
"We remain pleased with the overall acquisition environment, and are
particularly happy with the geographical and product mix reflected by these
three transactions. In particular, Global provides immediate access to
three major West coast markets that completes our near-term aftermarket
parts strategy for the West, as we now have the ability to provide
aftermarket parts sales and distribution to our customer base and insurance
partners in the four major markets of Los Angeles, the Bay area, Portland,
and Seattle," said Joe Holsten, LKQ's president and chief executive
officer.
"On the recycled parts businesses that we acquired, our Tulsa
acquisition fits nicely in terms of adding more capacity and density to our
Central Region as well as providing warehousing capacity for our
aftermarket operations in Oklahoma and Northwestern Arkansas. While we
currently provide a limited service to the Grand Rapids and Western
Michigan market, our Michigan acquisition provides important additional
processing and storage capacity to our Michigan recycled parts business."
For more information about LKQ, go to: www.lkqcorp.com .
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