Private equity firm Avista Capital Partners has signed a definitive agreement to acquire the Global Auto Care Business from The Clorox Company.
The Global Auto Care Business consists primarily of Armor All and STP, two brands in the aftermarket appearance and performance auto-care segments.
Upon closing of the transaction, veteran automotive aftermarket industry executive David Lundstedt will join Global Auto Care’s board of directors as executive chairman. Lundstedt has had a 31-year career in the automotive aftermarket, including serving as president of the consumer products division of Honeywell International and as president and chief executive of Prestone Products.
Global Auto Care’s existing management team, including current general manager Derek Gordon, will remain with the business.
David Burgstahler, partner and president of Avista Capital Partners, says: "We are very pleased to acquire the Clorox Global Auto Care Business. With the leading Armor All and STP brands, worldwide distribution, and a first-class reputation among retailers and consumers, we believe the business is an attractive investment opportunity for Avista. We look forward to partnering with David Lundstedt, as well as with Derek Gordon and his impressive team at Global Auto Care, to support continued product innovation and the geographic expansion of these brands."
"The brand strength of Global Auto Care’s product portfolio presents a compelling opportunity," adds Lundstedt. "With a robust product pipeline and strong innovation across all areas of the business, we are enthusiastic about the opportunity to grow these leading brands into a world-class appearance and performance auto-care company. I am thrilled to be a part of the Global Auto Care team."
The transaction, which is subject to regulatory and other customary approvals and closing conditions, is expected to close by the end of this calendar year.
Kirkland & Ellis served as legal counsel for Avista Capital Partners.