O’Reilly Automotive Inc. (Nasdaq: ORLY) is expanding outside of the United States for the first time with an acquisition of a Mexican company.
The Springfield-based auto parts retailer penned a stock purchase deal for Guadalajara-based Mayoreo de Autopartes y Aceites S.A. de C.V., dba Mayasa, according to a news release. Subject to closing conditions and regulatory approvals from both countries, O’Reilly Automotive is expected to close on the purchase of the outstanding shares of Mayasa and its affiliates in the fourth quarter.
Founded in 1954, Mayasa operates five distribution centers and 20 stores under the Orma Autopartes name, with more than 1,100 employees. Its products also are available in more than 2,000 independent locations in 28 Mexican states.
“From their beginning over 65 years ago, Mayasa has built a very successful business by focusing on the same fundamental culture values of hard work and excellent customer service that have also been key to O’Reilly’s success,” said Greg Johnson, co-president and CEO of O’Reilly Automotive, in the release. “Mayasa’s seasoned management team will continue to operate the business and, partnering with O’Reilly’s experienced leadership, will continue to grow the successful and profitable organization they have established.”
In the United States, O’Reilly Automotive operated 5,344 stores in 47 states as of June 30, according to the release.
The company last month reported second quarter net income that was roughly flat at $353.7 million.
ORLY shares were trading at $383.67 as of 9:50 a.m., compared with a 52-week range of $314.14 to $414.63.
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