Acquisition of Express Auto Service Centers

The strategy of Carousel Capital is known to be found in this motto: “If it ain’t broke, don’t fix it.”

 

Just last year, Carousel sold its shares in auto repair franchise to Driven Brands Inc. Now they are buying in again in another auto repair business. But this time, it seems like they can’t have the same motto anymore, after all, fixing is the main source of income in this business.

The purchased company is focused on Express Oil Change and Service Center and is found in Birmingham Alabama. It has over 200 branches in the Southeast area, where Carousel aims to help them expand through financial aid using Carousel equity from Carousel Capital Partners IV. After the investments, other companies have joined them and these companies were GoldPoint Partners (formerly New York Life Capital Partners), TIAA, affiliates of Hartford Investment Management Company and TwinBridge Capital Partners.

Though many investors were buying out shares, the owner remained a share in the business.

As the largest independent operator of oil change and automotive service centers, this complete maintenance shop illustrates a successful history.

“The Express service model and successful history of operating significant numbers of company owned locations provide numerous options for organic and acquisition related growth as the automotive aftermarket service industry continues to consolidate,” says Jason Schmidly, managing partner of Carousel Capital. “With the age of the vehicle fleet on the road today continuing to climb, this continues to be as important as ever.”

Posted by Diane Araga, on January 18, 2013 at 9:00 AM