Auto-Wares Group of Companies, a family-owned automotive aftermarket parts provider in the Midwest that serves both professional installer and do-it-yourself customers, and Icahn Automotive Group, LLC (IAG), which owns and operates Pep Boys automotive retail and service locations, recently announced they have entered into a definitive agreement under which Auto-Wares will acquire a select group of retail parts store locations in Michigan, excluding Pep Boys automotive service centers.
Under the terms of the agreement, Auto-Wares will acquire four retail parts store locations and associated inventory in the Metro Detroit and Kalamazoo markets. Icahn Automotive will enter into a supply agreement with Auto-Wares to supply Pep Boys service centers. The transaction is expected to close on or about Jan. 11, 2020, subject to customary closing conditions. Post-closing, Auto-Wares will convert and rebrand the acquired retail locations as Auto Value Parts Stores.
Icahn Automotive will continue to own and operate all of its service centers under the Pep Boys brand in Michigan and focus on serving the growing demands from the DIFM customer and rapidly growing fleets.
Todd Leimenstoll, Auto-Wares Group of Companies president & CEO commented, “This is a great opportunity to grow our parts business and increase our overall service levels in the Detroit and Kalamazoo markets. We recently completed a remodel and expansion of our Warren Michigan Distribution Center and we are ready to give exceptional customer service to these new locations and their customers. We welcome the new employees and customers to the Auto-Wares Family.”
“Auto-Wares is an excellent partner with a strong reputation in the region, and this transaction will strengthen both organizations, while enabling us to maintain a core store footprint to support our growing service business,” commented Chris Cox, CEO – Parts, Icahn Automotive Group. “I am pleased that our employees and customers will be in the hands of Auto Wares’ great family-owned organization.”