LKQ Corporation has entered into a definitive agreement to sell PGW Auto Glass (PGW), a distributor of aftermarket glass to the North American automotive sector, to One Equity Partners.
According to a release, the transaction is expected to be fulfilled during the second quarter of the year and is subject to customary closing conditions and necessary regulatory approvals. Terms of the transaction were not disclosed.
“This divestiture reinforces our ongoing commitment to review our portfolio of businesses, rationalize our asset base, and divest non-core businesses. We are confident that the PGW management team, in partnership with OEP, will continue to deliver great outcomes for PGW’s customers. We wish them both continued success in the future,” said Dominick Zarcone, president and CEO of LKQ.
The company will report the financial information for the PGW glass distribution business through the closing date in the continuing operations section of its financial statements. PGW garnered almost $400 million of revenue and its EBITDA margin was approximately 10% in 2021.
BofA Securities is acting as financial advisor to LKQ Corporation on this transaction.
About LKQ Corporation
LKQ Corporation is a leading provider of alternative and specialty parts to repair and accessorize automobiles and other vehicles. LKQ has operations in North America, Europe, and Taiwan. LKQ offers its customers a broad range of OEM recycled and aftermarket parts, replacement systems, components, equipment, and services to repair and accessorize automobiles, trucks, and recreational and performance vehicles.
Imagine the buzz around One Equity Partners taking over PGW Auto Glass! It feels like a good match, right? One Equity Partners’ strategic moves and LKQ’s streamlining efforts could mean a bright future for both sides. It’s exciting to see how this transition will unfold!