Advance Auto Parts Sells Carquest Canada Stake for $100M
Ticker: AAP · Form: 8-K · Filed: 2024-11-07T00:00:00.000Z
Sentiment: neutral
Topics: divestiture, acquisition, strategic-shift
TL;DR
AAP sold Carquest Canada for $100M to focus on the US. Big move!
AI Summary
Advance Auto Parts, Inc. announced on November 1, 2024, the completion of its previously announced sale of its minority equity investment in the Carquest Canada business to a subsidiary of TotalEnergies SE for approximately $100 million. This transaction is part of Advance's strategic plan to focus on its core U.S. business.
Why It Matters
This divestiture allows Advance Auto Parts to streamline its operations and concentrate resources on its primary U.S. market, potentially improving financial performance and strategic focus.
Risk Assessment
Risk Level: low — The filing reports a completed asset sale, which is a standard business transaction with no immediate new risks indicated.
Key Numbers
- $100 million — Sale Price (Proceeds from the sale of Carquest Canada)
Key Players & Entities
- Advance Auto Parts, Inc. (company) — Seller
- Carquest Canada (company) — Divested Asset
- TotalEnergies SE (company) — Buyer
- $100 million (dollar_amount) — Sale Price
- November 1, 2024 (date) — Completion Date
FAQ
What was the exact nature of Advance Auto Parts' investment in Carquest Canada?
The filing states it was a "minority equity investment".
Who acquired the Carquest Canada business from Advance Auto Parts?
A subsidiary of TotalEnergies SE acquired the business.
What is the strategic rationale behind this sale for Advance Auto Parts?
The sale is part of Advance's strategic plan to focus on its core U.S. business.
When was the transaction officially completed?
The transaction was completed on November 1, 2024.
Does this filing include financial statements related to the sale?
The filing indicates that financial statements and exhibits are included as part of the report.
From the Filing
0001158449-24-000229.txt : 20241107 0001158449-24-000229.hdr.sgml : 20241107 20241107163105 ACCESSION NUMBER: 0001158449-24-000229 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 18 CONFORMED PERIOD OF REPORT: 20241101 ITEM INFORMATION: Completion of Acquisition or Disposition of Assets ITEM INFORMATION: Regulation FD Disclosure ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20241107 DATE AS OF CHANGE: 20241107 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ADVANCE AUTO PARTS INC CENTRAL INDEX KEY: 0001158449 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-AUTO & HOME SUPPLY STORES [5531] ORGANIZATION NAME: 07 Trade & Services IRS NUMBER: 542049910 STATE OF INCORPORATION: DE FISCAL YEAR END: 1228 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-16797 FILM NUMBER: 241436369 BUSINESS ADDRESS: STREET 1: 4200 SIX FORKS ROAD CITY: RALEIGH STATE: NC ZIP: 27609 BUSINESS PHONE: 5403624911 MAIL ADDRESS: STREET 1: 4200 SIX FORKS ROAD CITY: RALEIGH STATE: NC ZIP: 27609 8-K 1 aap-20241101.htm 8-K aap-20241101 0001158449 false 0001158449 2024-11-01 2024-11-01 0001158449 2024-09-13 2024-09-13   UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549   FORM 8-K   CURRENT REPORT   Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934   Date of Report (Date of earliest event reported): November 1, 2024   ADVANCE AUTO PARTS, INC. (Exact name of registrant as specified in its charter)   Delaware 001-16797 54-2049910 (State or other jurisdiction of incorporation) (Commission File Number) (I.R.S. Employer Identification No.)   4200 Six Forks Road , Raleigh , North Carolina 27609 (Address of principal executive offices) (Zip Code)   ( 540 ) 362-4911 (Registrant's telephone number, including area code)   Not Applicable (Former name or former address, if changed since last report)   Securities Registered Pursuant to Section 12(b) of the Act: Title of each class Trading symbol Name of each exchange on which registered Common Stock, $0.0001 par value AAP New York Stock Exchange Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: ☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)   ☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)   ☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))   ☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). Emerging growth company ☐ If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐ INFORMATION TO BE INCLUDED IN THE REPORT Item 2.01 Completion of Acquisition or Disposition of Assets. As previously announced on August 22, 2024, Advance Auto Parts, Inc., a Delaware Corporation (the “Company”), and an affiliate of the Carlyle Group (NASDAQ: CG) (the “Buyer”) entered into a Sale and Purchase Agreement (the “Agreement”) to sell the Company’s Worldpac Inc. business (“Worldpac”). On November 1, 2024, the Company completed the sale of Worldpac to the Buyer pursuant to the terms of the Agreement for aggregate cash consideration of approximately $1.5 billion, as adjusted for working capital and other items. In connection with the transaction, the historical results