ATD completes buy of Terry's Tire Town

CHARLOTTE, N.C. (April 3, 2014) — American Tire Distributors Holdings Inc. has completed its acquisition of Terry's Tire Town Holdings Inc. for approximately $365.6 million, which includes the assumption of $2.2 million in debt.

The purchase price is $20 million higher than ATD disclosed in mid-February, and the final price could still be as much as $15 million more than the $365.6 million, ATD said in an 8K filingwith the Securities and Exchange Commission.

The final price is contingent upon certain post-closing events, including, but not limited to, working capital adjustments, ATD said.

ATD financed the acquisition through a combination of borrowings under a new senior secured term loan facility and borrowings of approximately $72.5 million under the firm's existing U.S. ABL facility.

In connection with the acquisition, ATD entered into a credit agreement that provides for a senior secured term loan facility in the aggregate principal amount of $300 million, with a discount of 0.25 percent, which, combined with debt issuance costs, resulted in net proceeds of approximately $290.9 million.