Peter Veldman, co-founder of mail-order and Internet retailer Tire Rack, and his wife Wilma intend to retire from the company's day-to-day operations and instead focus on charitable interests, the company said recently.
Mr. Edmonds said Mr. Veldman, 79, and Mrs. Veldman, 78, are looking at selling their share of the business, but the percentage to still be owned by the family is not yet determined. No retirement date for the Veldmans has been announced yet either.
The announcement comes on the heels of a report that the firm was for sale, but Matt Edmonds, vice president of marketing, told Tire Business the company is not for sale.
Tire Rack said in a statement the family has retained financial advisers and is in the process of identifying an equity investor outside of the industry to facilitate the move.
Tire Rack said all remaining family shareholders will continue to be owners and executives.
South Bend-based Tire Rack was founded as a tire store in 1979 by Mr. Veldman and son-in-law Mike Joines. In 1982 the company shifted its focus to a mail-order operation. The original store continued to operate until 1990 when Tire Rack decided to focus on wholesaling.
The business operates warehouses in Reno, Nev.; Shreveport, La.; New Castle, Del.; and South Bend. The company plans to add another in the fourth quarter. Tire Rack sells 16 tire brands and 25 wheel brands.
Family members involved in the business are: Mr. Veldman, president; Mrs. Veldman, corporate secretary; Tom Veldman, vice president; Mr. Joines, vice president; Mark Veldman, vice president; and Mr. Edmonds.