Quantcast
Jump to content
  • Welcome to Auto Parts Forum

    Whether you are a veteran automotive parts guru or just someone looking for some quick auto parts advice, register today and start a new topic in our forum. Registration is free and you can even sign up with social network platforms such as Facebook, Twitter, Google, and LinkedIn. 

     

APF

U.S. Auto Parts Network: Potential Acquisition Target

Recommended Posts

Summary

This is the second part of U.S. Auto Parts Network analysis.

Recent M&A activities hot up in the aftersales market.

U.S. Auto Parts Network provides an established online channel for pure bricks-and-mortar competitors.

The company trading at a fantastically cheap price for a buy-out.

Although with operation inefficiencies, in better hands, this could be a great acquisition target.

This is the second part of the analysis of U.S. Auto Parts Network Inc. (

link hidden, please login to view
), it lays out a more speculative scenario where PRTS is proposed as a potential acquisition target. Please, read 
link hidden, please login to view
 for the background and fundamental analysis of the company.

PRTS as a potential acquisition target

Evaluating PRTS and the industry revealed to us that the company is, in fact, a great acquisition candidate. The main reasons are thanks to the highly active M&A activities in recent years, especially from a particular billionaire - Carl Icahn, and what PRTS can bring to the table. However, we need to remind investors that the opportunity that PRTS can be sold for a premium is purely speculative.

48272473-1525092898615474.png

Recent M&A activities

As we have alluded to you in the first part of the analysis that even though new cars are coming in slower to the market, we must not forget that older cars are on the road for longer, and these owners are also spending more than ever to maximize the lifetime value of their vehicles. This rising demand for aftermarket parts and services is spurring new growth and revenue opportunities for a wide range of businesses operating in the automotive aftermarket industry.

The last few years saw many M&A activities. Most recently, 

link hidden, please login to view
, the US automotive and truck parts company agreed to 
link hidden, please login to view
 
link hidden, please login to view
, a leader in European and Asian branded replacement parts, from AutoZone (NYSE:
link hidden, please login to view
) in February 2018. The deal allows Parts Authority to expand product offerings, customer touch points, and geographies.

Source: 

link hidden, please login to view

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.


  • Similar Topics

    • By Auto parts-----Fay
      Hello everyone,
      We are a factory of auto parts:
      Gauges,oil pressure sensor,water temp sensors,stop solenoid...
      If u are interested,please contact me to get the catalog.
      Best regards,
      Fay
       

    • By Auto News
      MEMPHIS, Tenn. , Dec. 08, 2020 (GLOBE NEWSWIRE) -- AutoZone, Inc. (NYSE: AZO) today reported net sales of $3.2 billion for its first quarter (12 weeks) ended November 21, 2020 , an increase of 12.9% from the first quarter of fiscal 2020 (12 weeks). Domestic same store sales, or sales for stores

      link hidden, please login to view
    • By RPPL
      if you are looking for the
      link hidden, please login to view then RPPL Industries Ltd.
       
    • By Alex
      We are setting up this topic to share information on any impact the current
      link hidden, please login to view has on the auto parts industry. Sourcing, distribution, parts availability, and business impact. General questions and sharing of knowledge are welcome. The WHO has designated this a global pandemic that is already affecting many industries, including most sectors in the automotive industry. Corporate and Independent automotive parts stores are being impacted by repair shop businesses slowing down. As you know, many parts come from China and other parts of the world, which are affected by the current pandemic.
      Please share how this is impacting you and what you are seeing.

      link hidden, please login to view
  • Our picks

    • National Pronto Association, Automotive Distribution Network Announce Merger
      The leadership of National Pronto Association and Automotive Distribution Network announced today the merger of the two organizations. As of Jan. 1, 2021, the newly formed organization will be known as the Pronto Automotive Distribution Network.

      Headquartered in Grapevine, Texas, Pronto Automotive Distribution Network will be led by Robert Roos as president and David Prater as executive vice president. The combined organization will represent more than 250 members in North America with an estimated revenue of approximately $5 billion annually. Members will continue to market under the Pronto, Parts Plus and Auto Pride names.

      In addition, Pronto Automotive Distribution Network, together with Federated Auto Parts, will comprise the Automotive Parts Services Group (The Group). 
      • 0 replies
    • Advance Auto Parts To Sponsor NASCAR Weekly Series In Multiyear Agreement
      DAYTONA BEACH, Fla. & RALEIGH, N.C.--(BUSINESS WIRE)--As NASCAR Weekly Series sanctioned events begin to return at select tracks across North America, NASCAR and Advance Auto Parts (NYSE: AAP), a leading automotive aftermarket parts provider, today announced a multiyear official partnership, designating Advance as the series entitlement sponsor. As part of the agreement, Advance also becomes the “Official Auto Parts Retailer of NASCAR.”

      "It's great to have Advance join us in welcoming the return of NASCAR-sanctioned grassroots racing," said Ben Kennedy, vice president, racing development, NASCAR. "Advance’s commitment to our Weekly Series will develop some of the brightest NASCAR talent across North America. Advance has a long history in racing, and we’re thrilled to see its expanded presence from the grassroots all the way through our national series.”
      • 0 replies
    • Advance Auto Parts Announces Purchase of the DieHard Brand from Transformco
      Advance Auto Parts, Inc. (NYSE: AAP) has acquired the DieHard brand from Transform Holdco LLC (“Transformco”), for $200 million utilizing cash on hand.

      “We are excited to acquire global ownership of an iconic American brand. DieHard will help differentiate Advance, drive increased DIY customer traffic and build a unique value proposition for our Professional customers and Independent Carquest partners. DieHard has the highest brand awareness and regard of any automotive battery brand in North America and will enable Advance to build a leadership position within the critical battery category,” said Tom Greco, president and CEO, Advance Auto Parts. “DieHard stands for durability and reliability and we will strengthen and leverage the brand in other battery categories, such as marine and recreational vehicles. We also see opportunities to extend DieHard in other automotive categories. We remain committed to providing our customers with high-quality products and excellent service. The addition of DieHard to our industry leading assortment of national brands, OE parts and owned brands will enable us to differentiate Advance and drive significant long-term shareholder value.”
      • 0 replies
    • AmazonBasics 6-Pack High Mileage Motor Oil - Synthetic Blend
      AmazonBasics High Mileage Motor Oil - Synthetic Blend

      AmazonBasics high-mileage synthetic-blend motor oil offers an enhanced level of protection for engines over 75,000 miles. Its synthetic blend combines conventional oil with synthetic for cost efficiency with some of the benefits of a full synthetic. An important part of routine maintenance, the motor oil works well for anything from topping off levels to complete oil changes. Whether it’s a beloved older vehicle or one with an uncertain maintenance history, help protect its engine with AmazonBasics high-mileage, synthetic-blend motor oil.
      • 3 replies
    • OEM vs. Aftermarket Parts for Your Car: How to Choose
      When selecting parts for a car repair, it pays to know the differences between original and aftermarket parts. Whenever possible, get estimates for both.

      Choosing between original and aftermarket car parts — and even used parts of either type — is all about squaring your priorities with your budget.

      You’ll have different options depending on the part and the shop. And the best choice will depend on whether you’re trying to keep repairs cheap, restore your car’s appearance after a wreck or soup up your ride.

      Original equipment manufacturer (OEM) parts match those that came with your car, and are of the same quality as its original parts. They’re also the most expensive.
        • Like
      • 2 replies
×
×
  • Create New...

Copyright © 2020 AutoPartsForum Powered by Invision Community