CHARLOTTE, N.C.American Tire Distributors Holdings Inc. (ATD) has acquired most of the assets of Albert Tire L.L.C., the West Deptford, N.J.-based wholesaler serving customers throughout the Northeast and mid-Atlantic markets.
ATD said the deal excludes some assets specifically located in the West Deptford headquarters. Financial terms were not disclosed.
Albert Tire, in business since 1919, has distribution centers in York, Pa., Beltsville, Md., Manassas, Va., and West Deptford. It was acquired in late 2012 by Bennett Capital Partners L.L.C. of Alexandria, Va., for $40 million.
The opportunity for ATD and Albert Tire to join forces is very positive for the future of our mutual customers, said William Berry, ATD president and CEO.
The strengths of ATD and Albert Tire align very well, as both companies focus on providing customers with unsurpassed product availability and industry-leading service levels, he added.
ATD did not elaborate in its prepared statement on Albert Tire's annual sales or personnel headcount or whether the wholesaler's executives will be joining ATD.
John Casey, a 20-year Albert Tire veteran, was CEO under Bennett Capital's ownership.
Albert Tire and ATD are both Goodyear G3X distributors and both have strong, long-standing relationships with Goodyear, ATD said. Albert Tire has been a Goodyear distributor since 1952.
Albert Tire recently began marketing the Continental and General brands, which are also part of ATD's portfolio. ATD is a Conti Gold associate dealer program administrator.
The acquisition of Albert Tire extends ATD's network of distribution centers to 113 in 45 states. ATD also has 27 centers in eight Canadian provinces.
ATD moved quickly to integrate Albert Tire's customers into its network, setting up preset credentials for dealers who were not ATD customers to allow them to place orders with ATD.
ATD is considered the largest tire wholesaler in North America with 2014 sales of $5.03 billion, including revenue of nearly $1 billion from eight acquisitions carried out last year.
Charlotte-based ATD is co-owned by Ares Management L.P. and TPG Capital L.P., venture capital firms holding 48.4-percent stakes each after Ares bought its share from TPG earlier this year.
Alexandria-based Bennett Capital Partners did not respond to Tire Business inquiries for comment.
The sale of Albert Tire to ATD, however, runs counter to the goals Bennett Capital had published after it had bought Albert Tire.
At that time, Bennett Capital said it was working to grow Albert Tire organically and is actively looking to acquire additional tire distributors as part of a roll-up strategy within the industry.