HUNTERSVILLE, N.C. — American Tire Distributors Inc. has completed the sale of nearly all of its assets to a group of lenders four months after filing for bankruptcy protection.
The new company will do business as American Tire Distributors, and is led by President and CEO Ira Silver — the former CEO of wholesale distributor Max Finkelstein Inc. — effective immediately.
"With a strong financial position, experienced leadership team and committed new owners, American Tire Distributors is ready to write its success story," Silver said.
"We are incredibly grateful for the support we've received and excited to focus on delivering for our manufacturer partners and bringing high-quality products and unparalleled service to our customers."
In a statement, the company said it would focus on its core tire distribution business, rebuild its inventory and optimize its footprint with a commitment to efficiency and delivering value to its manufacturing partners and customers.
ATD is the largest independent wholesale tire distributor in the U.S. with 2023 sales of $5.7 billion. It has 110 distribution centers and nearly 4,000 employees who serve 80,000 customers nationwide.
The old ATD filed for bankruptcy in October, and in January proceeded with a stalking horse asset purchase it arranged with a group of lenders called the Ad Hoc Group.
Those lenders previously were identified as Guggenheim Partners Investment Management L.L.C.; KKR, Monarch Alternative Capital L.P.; Sculptor Capital Management Inc.; and Silver Point Capital L.P.
The stalking horse bid set a minimum price for ATD's assets and was "the highest and best — and only qualified bid," according to ATD's court filings.
Judge Craig T. Goldblatt, U.S. Bankruptcy Court for the District of Delaware, approved the sale last month. It closed on Friday.
Silver isn't the only Max Finkelstein alum joining the new ATD. Sean Franciscus is executive vice president and COO. He formerly was COO at Max Finkelstein Inc. and vice president of purchasing and logistics at Somerset Tire Service Inc.
"The loyalty of our associates, customers, and core vendors is a testament to the new company's solid foundation," Franciscus said. "Now, we turn our attention to building — honoring our commitment to excellence, leveraging our strengths, and claiming our place as the industry leader in wholesale tire distribution."
ATD veteran Keith Calcagno will be the new company's executive vice president and chief sales officer.
