CHARLOTTE, N.C.American Tire Distributors Holdings Inc. (ATD) has acquired Wholesale Tire Distributors Inc. (WTD), a Vaughan, Ontario-based company with two distribution centers serving customers throughout southern Ontario.
Financial terms of the deal were not disclosed at this time.
WTD's distribution centers in Vaughan and Stoney Creek, Ontario, will complement ATD's existing distribution footprint in the province, which ATD built earlier this year through the acquisition of Regional Tire Distributors Inc. (RTD) of Burlington, Ontario.
Established in 2002, WTD has grown from one small warehouse in north Toronto to the two 50,000-sq.-ft. centers it operates today, ATD said, servicing approximately 2,300 customers. WTD has 30 employees.
ATD did not comment on WTD's annual sales volume or status of the wholesaler's Tire Choice associate dealer program under ATD's ownership. WTD President Allan Bishop did not return calls asking for comment.
WTD has an excellent reputation amongst its customers and suppliers for its coverage of the southern Ontario region, said ATD President and CEO William Berry. Our goal is to provide unsurpassed service and product availability to customers across Canada, and this is an important step in achieving that goal.
This is ATD's third acquisition in Canada in the past two years.
It entered the Canadian market in November 2012 by purchasing Triwest Trading Canada Ltd. d/b/a TriCan Tire Distributors (TriCan) and built on that with its purchase of RTD in May.
ATD claims a 9-percent share of the Canadian replacement market for passenger and light truck tires, according its third quarter 10Q filing with the Securities and Exchange Commission.
ATD did not disclose its revenue in Canada, but said in the same filing the addition of TriCan and RTD contributed to $108 million in incremental business during the three months ended Sept. 30 and $287.5 million through nine months.
ATD said it will run its Canadian operation as a standalone business unit, based in Burlington, Ontario, with Mike Kustraoriginally president of RTD Ontarioas president.