Aug 28 Transtar Industries Inc, a U.S.
distributor of replacement car parts, is exploring a sale that
it hopes could value the company at as much as $1 billion,
including debt, according to people familiar with the matter.
Transtar's owner, private equity firm Friedman Fleischer &
Lowe LLC, has hired investment banks Bank of America Corp
and Harris Williams & Co to run an auction for the
company, the people said this week.
The sources asked not to be identified because the sale
process is confidential. Friedman Fleischer & Lowe, Transtar and
Bank of America declined to comment. A Harris Williams
spokeswoman did not respond to a request for comment.
Based in Walton Hills, Ohio, Transtar distributes driveline
replacement parts, kits and components used in transmission
repairs. It has about 2,300 employees and more than 130
locations throughout North America.
Friedman Fleischer & Lowe acquired Transtar in 2010 for an
undisclosed amount from private equity firm Linsalata Capital
Partners Inc. Earlier this year, it merged Transtar with ETX
Holdings Inc, a peer it acquired from industrial conglomerate
Jordan Industries Inc and private equity firm The Edgewater
Transtar is the latest in a string of auto parts companies to
hit the auction block. Graeme Hart, whose packaging conglomerate
made him New Zealand's richest man, is exploring a sale of his
U.S. auto parts businesses, which he acquired for nearly $2
billion in 2011, Reuters reported in June.
Carlyle Group LP, Onex Corp and American
Securities LLC are just some of the private equity firms that
have invested in auto parts companies in recent years.
Earlier this week, American Securities filed with U.S.
regulators for an initial public offering of auto parts maker
Metaldyne Performance Group Inc.
(Reporting by Greg Roumeliotis in New York; editing by Gunna