Capital goods company, CNH Industrial, has agreed to the sale of its Truckline parts business.
Truckline has been acquired by Bapcor – a provider of automotive aftermarket parts, accessories, automotive equipment and services. The group is reported to be one of the largest retailers and distributors of aftermarket commercial vehicle (truck and trailer) parts and accessories in Australia. It comprises 22 branches across Australia which are supported by distribution warehouses in Perth, Western Australia and Brisbane, Queensland.
Truckline reportedly has 150 team members and revenues of approximately $100 million.
“This further extends Bapcor’s participation in the heavy commercial sector where Bapcor currently has a modest wholesale presence in the speciality wholesale divisions,” Bapcor said in a statement.
Iveco, the commercial vehicle brand of CNH Industrial, will continue to supply and serve its Australian customer base with original equipment parts and service through its Aftermarket division.
Bapcor has also signed agreements to purchase Diesel Drive – a specialist in the sale of Japanese commercial truck spare parts which operates in Sydney, has 14 team members and boasts revenues of approximately $13 million.
The combined purchase price of Truckline and Diesel Drive is reported to be $48 million. It will be funded through existing debt facilities in the first full year of operation (FY2021). The businesses are expected to achieve a return on investment of at least 15 per cent.
The acquisitions are due to be completed by December, subject to conditions.
We are excited to welcome these commercial truck parts teams to Bapcor,” said Bapcor CEO and Managing Director, Darryl Abotomey.
“These acquisitions in commercial truck parts further strengthens Bapcor’s position as a specialist provider of automotive aftermarket parts, accessories, automotive equipment and services.
“The group is uniquely positioned to provide aftermarket parts to all forms of road transport.
“Australia continues to be dependent upon the logistical services provided by both the heavy and light commercial truck sectors,” he said. “We see considerable opportunities for Bapcor with further expansion opportunities."
(Image: Bapcor CEO and Managing Director, Darryl Abotomey.)
The all-new Toyota HiAce with its larger semi-bonneted van (SBV) architecture represents by far the most comprehensive update this model has received since it was originally launched way back in 1967. Prime Mover saddled up a long-wheelbase manual diesel version for this exclusive evaluation.