Polaris has entered into a definitive agreement to sell Transamerican Auto Parts to Wheel Pros. The deal is backed by Clearlake Capital Group. Transamerican Auto Parts operates over 100 4 Wheel Parts retail Stores across the country along with a portfolio of off-road parts brands.
Polaris purchased TAP in 2016 for a reported $665 million. The sale is reportedly worth just $50 million. Wheel Pros operates a portfolio of brands that include American Racing, KMC, Fuel Black Rhino and others.
“We have a clear vision to be the global leader in powersports,” said Polaris CEO Mike Speetzen. “Our decision to divest TAP better positions us to capitalize on growing consumer interest and demand for our powersports offerings, while enabling Polaris to focus our time, people and resources on our core On-road, Off-road and Marine businesses, along with the parts, garments and accessories brands that support those customers. In addition, it supports our long-term financial targets and is expected to have a positive impact on EBITDA margin. TAP remains a leading omni-channel player in the Jeep and truck aftermarket space, and we appreciate the contributions the team has made to Polaris.”
