ROCHESTER, N.Y. — Monro Inc. has struck a deal to buy 12 retail locations in Louisiana — which would be its first in that state — that collectively represent $15 million in annualized sales with a 35/65 service/tires sales mix.
The acquisition is expected to close in the fourth quarter of fiscal 2019 and to be breakeven to diluted earnings per share in fiscal 2019. Monro did not identify the business being acquired but said it reflects the company's drive to improve its position in the Sunbelt states.
Monro also recently completed the previously announced acquisitions of five stores in Ohio and 13 in Florida.
In Ohio, Monro acquired Jeff Pohlman Tire & Auto Service Inc., a five-store chain located in southwest Ohio. Monro is converting the stores — in Fairfield, Hamilton (two stores), Middletown and Oxford, Ohio — to its Car-X and Mr. Tire names. The acquisition should yield about $5 million in a 70/30 service/tires sales mix.
In Florida, the stores acquired are expected to add approximately $12 million in annualized sales, representing a sales mix of 65-percent service and 35-percent tires.
These acquisitions fill in existing markets and are expected to be breakeven to diluted earnings per share in fiscal 2019.
At the same time, Monro said it has decided to end negotiations for another previously announced acquisition of seven stores, representing $8 million in annualized sales, following an extended due diligence period.
On a combined basis, acquisitions completed and announced to date in fiscal 2019 represent an expected total of $87 million in annualized sales, Monro said.