INDIANAPOLISBest-One Tire & Service L.L.C. has bought the assets of the former Terry's Tire Town commercial tire business in northeast Ohiofour tire service facilities and a Bandag retread plantfrom American Tire Distributors Holdings Inc. (ATD), which had acquired them in its April purchase of Terry's Tire Town Holdings Inc.
The tire service locations in Canton, Girard, Twinsburg and Alliance, Ohio, plus the retread plant in Alliance, are now operating under the Great Lakes Best-One Tire & Service banner, according to Indianapolis-based Best-One Tire, considered the fourth largest commercial dealership and fifth largest truck tire retreader in the U.S. with sales last year of $300 million.
Financial terms of the sale were not disclosed, but ATD estimated in its recent initial public offering prospectus the value of the business being divested at $3.3 million, including $2.5 million in assets and net property and $800,000 in equipment.
James Brott, who managed the Terry's Tire Town locations for 23 years, will be the managing partner for the newly established Great Lakes Best-One locations. He has worked for 31 years in the tire industry.
I look forward to continuing the many long-term relationships that I've been able to establish with both my customers and employees in the more than 20 years that I've spent with Terry's Town, Mr. Brott said. I'm also glad to be joining the Best-One groupan organization that has built great strength in the tire industry over the years and is comprised of many excellent people.
The core of the business being divested is a Bandag-system retread plant and commercial tire center that Terry's Tire bought from Premier Bandag in 1998 and expanded in 2007, according to a published Terry's Tire history. The acquired business employs 50, Best-One said.
ATD had characterized the commercial tire operations as not consistent with its core business of wholesaling and therefore designated for divestment.
The next nearest existing Best-One Tire commercial tire service points are in Cleveland and Jackson, Ohio, according to Best-One's online dealer locator.
Dave Hartman, director of commercial development for Best-One, said this expansion further into northeastern Ohio is positive strategic growth for Best-One.
He called Mr. Brott a high-quality individual.
The acquired locations expand Best-One's network of commercial servicing points to more than 135, and the Alliance retread plant will be Best-One's fourth Bandag retread facility in Ohio and 16th overall throughout Best-One's coverage area.
Overall, Best-One Tire & Service has more than 250 retail and commercial outlets operating under the Best-One umbrella. More information is available on the dealership's website. www.bestonetire.com.
ATD paid approximately $365.6 million for Terry's assets, which include 10 distribution centers in nine states. The business generated sales in 2013 of about $500 million.