Positions ATD to Complete Sale Transaction in Coming Weeks
HUNTERSVILLE, N.C., Feb. 11, 2025 /PRNewswire/ — American Tire Distributors, Inc. (“ATD” or the “Company”) today announced that the U.S. Bankruptcy Court for the District of Delaware (the “Court”) has approved the sale of substantially all of the Company’s assets to a buyer entity formed by certain of the Company’s existing lenders (“the Purchaser”). Having received this approval, the Company expects to effectuate the sale by February 28, 2025, subject to customary closing conditions.
“We are pleased to have received Court approval of our sale transaction with the Purchaser, which marks one of the final steps in our sale process,” said Michael Feder, Interim Chief Executive Officer of ATD and Partner & Managing Director (retired, on recall) at AP Services, LLC, an affiliate of AlixPartners, LLP. “Having conducted a competitive sale process over the last several months, we believe that this agreement represents the best path forward for the business and all of our stakeholders. The Purchaser is poised to move forward as a stronger partner to manufacturers and customers.”
Mr. Feder continued, “We are grateful to our manufacturer partners and customers for their support throughout this process. We remain focused on continuing to provide them with the outstanding levels of service they expect from us as we work to complete this process. We thank all of our associates for their continued focus and dedication to ATD.”
Additional Information
Court filings and other information related to the chapter 11 proceedings, including instructions on how to file a proof of claim, are available on a separate website administered by the Company’s claims agent, Donlin Recano & Company, LLC, at www.donlinrecano.com/atd, by calling toll-free at 1-866-666-1597 (or 1-212-771-1128 for calls originating outside the U.S. or Canada), or by sending an email to atdinfo@drc.equiniti.com.
Advisors
Kirkland & Ellis LLP is serving as legal counsel, Moelis and Company LLC is serving as investment banker, and AP Services, LLC is serving as restructuring advisor to ATD.
The Purchaser is represented by Akin Gump Strauss Hauer & Feld LLP as legal counsel and Perella Weinberg Partners LP as financial advisor.
The ABL Lenders are represented by Otterbourg P.C. as legal counsel and Carl Marks & Co. as financial advisor.
About American Tire Distributors
American Tire Distributors is one of the largest independent suppliers of tires to the replacement tire market. It operates more than 115 distribution centers serving approximately 80,000 customers across the U.S. The company offers an unsurpassed breadth and depth of inventory, frequent delivery, and value-added services to tire and automotive service customers. American Tire Distributors employs approximately 4,500 associates across its distribution center network.
In 2024, the company was recognized as: an Environment+Energy Leader Award recipient; a Stevie® Award for Sales & Customer Service recipient; and a multi-award recipient of The American Business Awards®, including a Gold Stevie® Award recipient in the Company of the Year – Automotive & Transport Equipment – Large category and a Silver Stevie® Award recipient in the Artificial Intelligence/Machine Learning Solution category.
Media Contact
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SOURCE American Tire Distributors
