TBC Corp. to Acquire Midas in $310 Million Deal - aftermarketNews

TBC Corp. to Acquire Midas in $310 Million Deal

The proposed transaction has been unanimously approved by the board of directors of both companies.

PALM BEACH GARDENS, Fla. and ITASCA Ill. – TBC Corp. and Midas Inc. today announced that they have entered into a definitive merger agreement, through which TBC will acquire Midas in a cash tender offer of $11.50 per share.  
 
The all-cash transaction is valued at approximately $310 million and includes the assumption of approximately $137 million in debt and pension liabilities. The $11.50 per share offer price represents a 75 percent premium over Midas’ closing price of $6.58 on Aug. 11, 2011, when Midas announced it would conduct a strategic review process, and a 28 percent premium over the closing share price as of Monday, March 12, 2012.
 
The proposed transaction has been unanimously approved by the board of directors of both companies. In addition, Midas Chairman, President and CEO Alan Feldman has signed a tender and voting agreement in support of the offer.
 
TBC Chairman and CEO Lawrence Day commented, “With nearly 2,300 locations worldwide, Midas is a leader in automotive services and we are very excited to welcome such an iconic brand into our portfolio. By combining the strengths of Midas’ platform with our industry expertise and financial resources, we will build on their current momentum and take the company to the next level.”
 
“We are pleased to announce this transaction, which is strategically compelling and provides significant value to our shareholders,” added Feldman. “The offer represents a significant and immediate premium for our shareholders and marks the culmination of a thorough strategic review process by our board of directors, which began last August. The combination of these two highly complementary businesses will provide significant opportunities for Midas to prosper in the future and will create enhanced opportunities for franchisees and strong benefits to customers.”
 
The deal is expected to close by the end of the second quarter.

TBC’s other companies include: Carroll Tire Company, Big O Tire, Tire Kingdom, NTB, Merchant’s Tire & Auto Centers and Treadways. TBC is owned by Sumitomo Corp. of America. Sumitomo Corp. of America, the North American subsidiary of Sumitomo Rubber Industries, bought TBC Corp. in September 2005 in a $1.1 billion deal.
 

You May Also Like

Tint World Expands With First Ohio Location

Tint World Columbus is owned and operated by Josh Vanlandingham.

Tint-World-Expands-With-First-Ohio-Location

 Tint World® Automotive Styling Centers™ announced the opening of its first location in Ohio.  

Tint World Columbus, located at 2002 Crown Plaza Drive, and owned and operated by Josh Vanlandingham, offers a comprehensive selection of high-quality automotive styling and aftermarket part services, including window tinting, paint protection films, ceramic coatings, and professional detailing, the company said.

Tint World and XPEL Announce Partnership

This collaboration will introduce the “Tint World powered by XPEL” range of co-branded products.

Tint World
Rotating Electrical: Revolving and Evolving

Higher compression ratios, increased accessory electrical loads, and the move toward hybridization and emissions compliance have brought many changes to the design and requirements of these rotating electrical components.

Rotating Electrical: Revolving and Evolving
The Purge: Flushing & Filling the Coolant

This job isn’t needed as often as it used to be, but it’s still important.

The Purge Flushing & Filling the Coolant
JNPSoft OptiCat Unveils DataLive Product Tracking Tool

With DataLive, manufacturers can now automatically track when their products reach a go live state on the various distribution sell platforms.  

Opticat

Other Posts

BendPak Announces Longer-Lasting LITESTIX Work Light

A larger battery keeps the rechargeable hands-free light shining bright for up to 7 hours, BendPak said.

BendPak Announces Longer-Lasting LITESTIX Work Light
Bridgestone Rolls Out Brand Refresh for Tires Plus, Hibdon Tires Plus

Updates to the logo include a single-color tire mark; a logo palette comprised of Tires Plus yellow, black and red; and refined typefaces.

Bridgestone Retail Operations rolls out brand refresh for Tires Plus, Hibdon Tires Plus
Sun Auto Tire & Service Expands Texas Store Count

The company has acquired Carrollton Complete Automotive, which offers a range of automotive services.

Sun Auto and Tire
Tint World Announces New Location in Birmingham

This brings the company’s store count in Alabama to 3 locations.