CHARLOTTE, N.C. (June 17, 2016) — ATD Corp., parent of American Tire Distributors Inc., is proposing an initial public offering (IPO) of its common stock, although details such as number of shares, pricing, etc., have not yet been disclosed.
ATD said in a June 16 filing with the U.S. Securities and Exchange Commission (SEC) it expects to use the net proceeds from the offering primarily to repay a portion of its existing long-term debt.
The distributor has designated BofA Merrill Lynch, Deutsche Bank Securities and Goldman, Sachs & Co. as joint book-running managers and as representatives of the underwriters for the offering. In addition, Barclays, J.P. Morgan and UBS Investment Bank are joint book-running managers for the offering.
A registration statement relating to these securities has been filed with the SEC but has not yet become effective, ATD said.
These securities may not be sold, nor may offers to buy be accepted, prior to the time the registration statement becomes effective, according to the Charlotte-based company.
ATD is owned by affiliates of global investment firm TPG Capital L.P., which paid approximately $1.3 billion for ATD in June 2010.
TPG’s purchase trumped an IPO ATD had been planning at the time. TPG bought ATD from affiliates of Investcorp Bank BSC, Berkshire Partners L.L.C. and Greenbriar Equity Group L.L.C., which paid about $500 million for the company.
The offering will be made only by means of a prospectus, the company said. Copies of the preliminary prospectus related to the offering may be obtained, when available, from:
- BofA Merrill Lynch, 222 Broadway, New York, NY 10038, Attention: Prospectus Department, or via email, at email@example.com;
- Deutsche Bank Securities, Attention: Prospectus Group, 60 Wall Street, New York, NY 10005, via telephone: 1-800-503-4611 or via email: firstname.lastname@example.org; or
- Goldman, Sachs & Co., Attention: Prospectus Department, 200 West Street, New York, NY 10282, or by telephone at (866) 471-2526, facsimile at (212) 902-9316, or e-mail at email@example.com.
ATD is acknowleged to be the largest distributor of replacement tires in North America, with $3.84 billion in sales last year. However, the Charlotte-based firm reported a net loss of $6.33 million.
In the quarter ended April 5, ATD reported operating and net losses of $24.4 million and $34 million, respectively, on 28-percent higher sales of $1.08 billion.
ATD operates more than 140 distribution centers in the U.S. and Canada, where it maintains an inventory of more than 40,000 stock-keeping units. It claims to serve 80,000 customers in the two countries.
The IPO filing is in addition to a May 16 “Notice of Full Redemption” filing by American Tire Distributors Inc. providing for the redemption of all $250 million aggregate principal amount of its 9.75-percent senior secured notes on June 16 at a price equal to 104.875 percent of the principal amount of the notes plus accrued and unpaid interest.
Has your business been invaded by people looking to catch, train and battle Pokemon with Nintendo’s Pokemon Go app?
|No, not that I'm aware of.||
|Yes, but we've banned it for non-paying customers.||
|Yes, and we've been happy to have them.||
|They've tried, but we've already found all the Pokemon in the shop's vicinity. Gotta catch 'em all!||
|Total votes: 106|