Digital Auto Care Factbook & Lang Annual 2017 - 34

SELECT AUTO CARE TRANSACTIONS

Notable Recent Aftermarket Transactions
($Millions)

Close Date

Acquirer

Target

Announced Metrics

3/30/2016

Driven Brands

Take 5 Oil
Change



Not publicly disclosed



3/18/2016

LKQ

Rhiag Auto Parts



Implied EV: $1,141
EV / LTM Rev: 1.2x(1)
EV / LTM EBITDA: 10.6x(1)




Icahn Enterprises, which also controls publicly-traded
Federal-Mogul, a leading parts supplier, is now an owner at
every step of the auto parts supply channel (supply,
distribution, retail, and installer)




2/2/2016

Icahn
Enterprises

Pep Boys -
Manny, Moe &
Jack

Expands Driven Brands' footprint in the southeastern
U.S. with a leading quick lube operator
Expands LKQ's addressable market with the addition of
10 new countries to its European footprint



Price: $878
Implied EV: $1,265
EV / LTM EBITDA(2): 15.6x
EV / LTM Rev(2): 0.60x

9/29/2015

AP Exhaust

Eastern Catalytic



Not publicly disclosed

Transaction combines AP's full line exhaust offering and
expertise with Eastern's first-to-market catalytic converter
emissions capabilities

9/22/2015

Holley
Performance
Products

MSD Performance



Not publicly disclosed



8/26/2015

The Riverside
Company

Arrowhead
Electrical
Products



Not publicly disclosed


Expect Arrowhead to continue to grow via M&A - such as
the recent acquisition of C&E Group of Companies

8/17/2015

Mann +
Hummel

Wix Filters(3)



Price: $513
Implied EV: $1,335





8/5/2015

Mavis Tire

Somerset Tire



Not publicly disclosed



6/26/2015

New Mountain

Zep











Transaction creates the largest supplier of branded
enthusiast products in the automotive aftermarket

Provides Mann + Hummel access to US heavy duty and
hydraulic filtration markets
Transaction creates the 4th largest independent tire
retailer with 324 locations across three states



Price: $476
Implied EV: $699
EV / LTM EBITDA(4): 14.8x
EV / LTM Rev(4): 1.0x

6/8/2015

Driven Brands

1-800 Radiator



Not publicly disclosed



6/1/2015

Highlander
Partners

Niteo Products
(f/k/a Valvoline
Car Care)



Not publicly disclosed



5/21/2015

Spectrum
Brands

Armored Auto
Group



Price: $1,400
EV/LTM EBITDA(5): 11.5x
EV/LTM Rev(5): 3.1x







Price: $251
EV / LTM EBIT(6): 10.1X
EV / LTM Rev(6): 1.1X







5/8/2015

NGK Spark
Plug

Wells
Manufacturing




New Mountain will provide Zep with financial and
strategic resources that facilitate the chemical company's
growth path including investments in new products, channel
strategies, and acquisitions
Adds distribution as 3rd vertical to complement Driven
Brands' Paint & Collision (Maaco) and Repair &
Maintenance (Meineke) divisions
Highlander will leverage Valvoline Car Care's strong
portfolio of exceptional products, strong brands, and high
quality manufacturing and distribution facilities to
accelerate growth within the appearance products and
chemicals segments

Represents Spectrum's entrance into the automotive
aftermarket

Adds iconic brands including Armor All, STP, and A/C
PRO to Spectrum's diversified portfolio of consumer
products
Wells increases NGK's North American distribution
network and expands NGK's product line in ignition, fuel
delivery, and emissions categories

5/7/2015

BBB Industries

ATSCO
Remanufacturing



Not publicly disclosed



4/10/2015

Roark Capital

Driven Brands



Not publicly disclosed



Notes:
(1) Trailing period as of 9/30/15.
(2) Trailing period as of 12/8/15.
(3) Wix Filters was part of Affinia Group Holdings.

34

Observations

Acquisition deepens BBB's offering of remanufactured
steering and pump products
Partnering with Roark, Driven Brands has a mandate to
grow through acquisitions. Post transaction the Company
quickly made four additional acquisitions (1-800 Radiator;
Carstar; Carstar Automotive Canada; Take 5 Oil Change)

(4) Trailing period as of 4/8/15.
(5) Trailing period as of 8/6/15.
(6) Trailing period as of 5/8/15.

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Table of Contents for the Digital Edition of Digital Auto Care Factbook & Lang Annual 2017
