TBC Corp. is selling its company-owned retail stores — a network of 595 NTB Tire and Service Centers and Tire Kingdom Service Centers — to Mavis Tire Express Services Corp. And, the two companies have entered into an agreement where TBC will provide wholesale and distribution services for Mavis' retail stores.
The deal includes 392 NTB Tire and Service Centers (NTB) and 203 Tire Kingdom Service Centers, with locations in Florida, Texas and "other states" across the mid-Atlantic, Midwest and South.
In a statement from TBC, the company noted "all NTB and Tire Kingdom retail store and retail field management associates will have the opportunity to continue their careers with Mavis."
TBC had earlier sold 112 NTB locations to Mavis in 2020.
This deal will give Mavis a retail footprint of approximately 2,000 locations.
“As we execute our growth plans and strategies, we continuously analyze the assets in our portfolio and periodically fine tune them to drive superior performance in our core focus areas,” says Sam Kato, president and CEO of TBC Corp. “Divesting our company-owned retail business allows us to focus and strengthen our wholesale business, pursue growing our distribution and ‘supply chain as a service’ solutions, while bolstering our market-leading Midas and Big O Tires franchise businesses. We have never been in a stronger position to offer best-in-class solutions that address a full range of customer priorities while driving innovation and long-term sustainable growth.”
Stephen Sorbaro, co-CEO of Mavis, says, “Today’s announcement represents a significant milestone in the continued acceleration of Mavis’s growth strategy, enabling us to deepen our presence in existing markets and expand our Mavis brand into new markets throughout the Midwest, mid-Atlantic and in Texas. We have a strong working relationship with TBC and a history of successfully integrating NTB locations into our platform, and we look forward to partnering with them again to welcome the talented NTB and Tire Kingdom teams to the Mavis family.”
Kato adds, “It was important to us to identify a buyer with an exceptional people-centric culture that aligns with our company values. From our long-term partnership with Mavis, we are confident they are well-positioned to accelerate growth in the NTB and Tire Kingdom businesses as they continue to invest in expanding Mavis’s national footprint."
The transaction is expected to close in the coming weeks. Terms were not disclosed.
