STERLING HEIGHTS, MI — Advanced Accessory Systems LLC (AAS), a manufacturer of automotive roof racks and towing systems, has agreed to sell its towing system businesses in the U.S. and Europe to Thule, AB, of Sweden. Terms of the transaction were not disclosed.
Alan Johnson, president and chief executive officer of AAS, said Thule initiated the negotiations and had made a substantial offer.
The proposed sale will include: Brink International BV, Europe’s leading manufacturer and distributor of towing systems, related accessories and specialized trailers; Valley Industries, North America’s second largest supplier of towing systems and related accessories; an SportRack Accessories, Inc., a leading Canadian manufacturer and distributor of roof racks, rooftop cargo boxes and hitch-mounted accessories.
The three businesses had revenues of $245 million in 2005.
“This transaction,” Johnson said, “will allow AAS management to concentrate all of its energies on our principal business, SportRack Automotive, which is the leading supplier of roof racks to all major Original Equipment automotive companies. SportRack Automotive had revenues of $200 million last year.”
AAS is owned by Castle Harlan Partners IV, L.P., a private equity investment fund organized and managed by Castle Harlan, Inc., a leading New York-based private equity firm. Castle Harlan acquired AAS in the spring of 2003.
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