LKQ Enters Agreement to Acquire Keystone Automotive Operations
Dec. 9, 2013—LKQ Corporation announced last week that it has signed a definitive agreement to finalize its acquisition of Keystone Automotive Operations for $450 million.
Keystone Automotive Operations is one of North America’s leading distributors and marketers of aftermarket automotive equipment and accessories, not to be confused with Keystone Automotive Industries Inc., an existing LKQ subsidiary.
The sale is expected to be completed in the first quarter of 2014, and is subject to customary closing conditions and necessary regulatory approvals.
“LKQ will become a leading player in the specialty aftermarket equipment and accessories
business with this acquisition,” said Robert L. Wagman, president and CEO of LKQ. “In addition, our addressable market opportunity in North America will be significantly expanded. The entire specialty aftermarket equipment and accessories industry is a highly fragmented $31 billion market, and Keystone’s current product categories represent about $5 billion of the industry.”
Keystone’s revenue for 2014 is expected to be approximately $700 million with an earnings before interest, taxes, depreciation, and amortization margin of approximately 10 percent.