LKQ to Acquire Pittsburgh Glass Works
LKQ Corp. announced that it has signed a definitive agreement to acquire Pittsburgh Glass Works LLC (PGW) from private equity firm Kohlberg and Co. LLC and PPG Industries, Inc. for an enterprise value of $635 million. PGW is a global distributor and manufacturer of automotive glass products, including wholesale and retail distribution services, automotive glass manufacturing, and retailer alliance partnerships. PGW operates approximately 120 distribution branches serving over 7,000 automotive glass retailer shops across North America, as well as 12 automotive glass fabrication facilities in North America, Europe, and China. PGW’s revenue for the 12 months ended October 31, 2015, was approximately $1.07 billion. The transaction is expected to be completed in the second quarter of 2016 and is subject to customary closing conditions and necessary regulatory approvals.
“We are excited to be partnering with PGW, and look forward to working with the existing core management team at PGW to continue to invest in and grow its business while continuing the high-quality service to all its customers,” said Robert L. Wagman, president and CEO of LKQ. “PGW reflects LKQ’s commitment to provide a one-stop-shop solution to the North American collision repair industry by adding automotive glass to our product offerings. PGW is the largest pure-play provider in the $3.5 billion North American automotive glass market. This acquisition will expand our addressable market in North America and globally, and simultaneously offers tremendous distribution synergy opportunities with our existing network.”
“PGW transformed itself into a strong global competitor of automotive glass and enjoyed tremendous market and financial success under the stewardship of Kohlberg and PPG,” said Jim Wiggins, chairman and CEO of PGW. “We are excited to become part of the LKQ family, and expect that the company will continue on its growth and success trajectory under LKQ.”