ANDERSON, IN --
Remy International has signed a definitive agreement to acquire the assets of Unit Parts Company (UPC), based in Oklahoma City. Unit Parts supplies new and remanufactured starters and alternators to the automotive aftermarket, offering custom branding, packaging and logistics solutions as well as complete engineering and support services.
Officials at Remy International said the company's position as a leading global supplier of original equipment and replacement starters and alternators will be significantly strengthened with the acquisition. Unit Parts has five major facilities located in North America, approximately 2,000 employees and estimated net sales of approximately $150 million for the year 2004.
Unit Parts Company will remain headquartered in Oklahoma City and operate as a division of Remy's Electrical Aftermarket. Jack and Tom Vollbrecht will continue as UPC's co-presidents, reporting to Remy's Electrical Aftermarket President Divakar "Dibs" Tailor.
"The combination of UPC's customer base with our Electrical Aftermarket business will increase our manufacturing and distribution capabilities, expand and diversify our retail presence and enhance our ability to serve the traditional distribution channel," noted Tailor.
Speaking on behalf of the UPC founders, Jack Vollbrecht said, "We wanted to align our company with a market leader, and Remy will provide us the ability to prosper with the strength of a much larger global organization."
Remy CFO Raj Shah stated, "Given the recent disposition of our transmission remanufacturing business and the resulting liquidity improvement, we are delighted at the opportunity to reinvest some of the funds in the electrical product line. We believe this acquisition positions us to deliver on our objectives of profitable growth while retaining a strong financial position."
The transaction is expected to close in March, 2005.
For more information about Remy International, go to: www.remyinc.com.
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