It’s now official: Quebec-based Uni-Select has been acquired by Chicago-based LKQ Corporation.
News of the deal first sprouted in late February. After getting regulatory and shareholder clearance, as well as LKQ waiving some conditions, the deal was completed under the provisions of the Business Corporations Act (Québec).
As outlined from the start, LKQ will buy all of Uni-Select’s issued and outstanding shares for $48 per share in cash, valuing the transaction at about CAN$2.8 billion.
Former shareholders will be paid out “as soon as reasonably practicable after the date hereof” or after other steps are completed, in the case of registered shareholders.
LKQ provides alternative and specialty parts to repair and accessorize vehicles. Uni-Select distributes automotive aftermarket parts and automotive refinishing products in Canada under the Bumper to Bumper, Auto Parts Plus and FinishMaster banners.
In the U.K., Uni-Select, distributes automotive parts through GSF Car Parts, though LKQ has stated it will sell off the division.
The deal was looking at delays following the U.K. Competition and Markets Authority’s request for a remedy (known as “undertakings in lieu of reference”). The regulator made the request to address concerns it has identified about the impact on markets in the United Kingdom.
Just before the weekend, Uni-Select announced that LKQ was formally waiving the closing condition relating to gaining merger clearance in the U.K. That being the final hurdle, all closing conditions were either satisfied or waived, opening the door to officially closing the deal.
Now that the deal is complete, Uni-Select will be de-listed from the Toronto Stock Exchange and Uni-Select has applied to cease to be a reporting issuer in all Canadian provinces.
“We look forward to welcoming Uni-Select’s employees to the LKQ team,” said LKQ president and CEO Dominick Zarcone when the deal was first announced. “Importantly, we believe that our combined efforts will create tremendous long-term value for our customers, shareholders, employees, and other stakeholders as we continue to focus on our operational excellence initiatives.”