Driven Brands Cites 'Our Opportunity' in $100M IPO
Dec. 29, 2020—Driven Brands Holdings Inc. last week filed forms with the federal Securities and Exchange Commission for a $100 million initial public offering.
A spokesperson for the company, under which a number of automotive industry brands operate, confirmed the filing though declined to comment further noting that the IPO is not guaranteed to go through.
Per the S-1 filing, Driven Brands sees opportunity in what it calls "the large, recession-resistant and highly fragmented automotive industry with long-term growth trends." The company operates some 4,100 locations in 49 states and in 14 countries. More than 2,500 of those locations are franchises.
Driven Brands' network in 2019 brought in $600 million in revenue from about $3 billion in system-wide sales, per the filing.
In the collision repair realm, Driven Brands does business under the Abra, CARSTAR, Fix Auto USA, and Maaco brand names. Per the filing, the company's market share of the $38 billion paint, collision, and glass industry is about 4 percent. The top five companies in the industry account for about 15 percent of the market
Earlier this month, company leaders speaking to the media during Maaco's 2020 Convention said the brand's business was good. Michael Macaluso, executive vice president for Driven Brands and its group director for paint, collision, and glass, said the third quarter of 2020 was "nothing short of tremendous."