Sun Auto acquires Texas dealership Martin Tire; grows to 237 stores

PHOENIX — Sun Auto Tire & Service Inc. has acquired Martin Tire Co., the El Paso, Texas-based tire and wheel distributor with eight stores in Texas and New Mexico, boosting the Sun Tire network to 237 stores in eight states.

Sun Auto Tire CEO Tony Puckett said this acquisition reflects Sun Auto's belief that "capitalizing on acquisition opportunities in and adjacent to our existing markets strengthens our reputation as the most reliable company in automotive care."

Martin Tire was founded in El Paso by Robert Martin in 1945 and has expanded over the years to eight locations — six in Texas and two in New Mexico. The dealership reported annual sales of over $21 million in fiscal 2018 and 2019, split 60/40 retail/wholesale, according to information the company reported to Tire Business in 2019.

The dealership was run prior to its being sold by Robert and David Martin, third-generation members of the Martin family who plan to continue working with Sun Auto.

Mr. Puckett called Martin Tire a "trusted service provider" for residents in Texas and New Mexico for almost 80 years, making them an "ideal addition" to the Sun Auto network. Sun Auto plans to keep the stores operating under the Martin Tire name.

Financial details of the deal were not disclosed.

The acquired stores — six in El Paso and single locations in Alamogordo and Las Cruces, N.M. — comprise 55 service bays. The dealership derives 25% of its retail sales revenue from automotive service versus 70% from tires and 5% from other services.

This purchase comes just two weeks after Sun Auto disclosed the acquisition of 16 stores in the Pacific Northwest via three dealers — Greg's Japanese Auto and Jeff's Auto Repair in the Seattle market and Gaynors Automotive in Vancouver, Wash. — and six weeks after the purchase of Hogan & Sons Tire & Auto Service in northern Virginia.

These most recent acquisitions were carried out after Sun Auto founders Greenbriar Equity Group Inc. sold majority ownership of the automotive aftermarket retail business to Leonard Green & Partners, a Los Angeles-based private equity group.

In all, Sun Auto has added 46 locations this year in eight separate transactions. Sun Auto does not publish annual sales data.