Dallas equity firm to launch Premier Tire & Service

DALLAS — Make a note: Premier Tire & Service could be the next big thing in the U.S. retail tire sector.

Private-equity firm Sterling Group, in partnership with former Big O Tires and Full Speed Automotive executive John Adams, has crafted an initiative to build a one-stop tire and auto service solutions provider dubbed Premier Tire & Service.

Sterling has set a rather simple strategy for Premier: Acquire independent tire and retail service locations with customer-focused service models in various markets across the country.

Sterling has not as yet shared any specifics about its growth goals for Premier Tire, the size/scale of the investment, or a timeline for growth.

Lucas Cutler, partner of the Sterling Group Foundation Fund, said: "We are excited to enter the highly attractive tire retail and service segment of the aftermarket automotive industry and partner with seasoned industry professionals to build a platform of scale."

Dallas-based Sterling Group is a private equity and private credit investment firm that targets investments in basic manufacturing, distribution and industrial services companies. Typical enterprise values of these companies at initial formation range from $100 million to $750 million. Sterling has more than $5.9 billion of assets under management.

Adams spent nearly 25 years with Big O Tires, from 1983 through 2008, serving as executive vice president and chief financial officer for a dozen years and eight years as president.

After leaving TBC/Big O Tires, Adams joined Grease Monkey International Inc. in 2012 and was president of that fast-lube system franchisor until 2018. Concurrently he has been a partner in National Retail Concept Partners L.L.C. since 2008.

Premier Tire is a portfolio company of the Sterling Group Foundation Fund, an entity that aims to leverage the firm's operational capabilities and experience in the industrial sector to "set the foundation" for growth at lower middle market companies.

Luke Bateman is managing director of the Foundation Fund. Other executives include Steven Hirsch, director; Jared Bell and Bryan Tisdale, vice presidents; and Lynn Astrup and Graham Gillespie, associates.