Investment bank with Baltimore ties helps complete sale of TBC retail business

Matrix Capital Markets Group Inc., a Richmond-based investment bank with offices in Baltimore, advised TBC Corporation on the sale of its company-operated retail businesses to Mavis Tire Express Services Corp.

The sale includes TBC’s retail network of 595 tire and automotive service centers that utilize the NTB Tire & Service Centers and Tire Kingdom Service Centers brands.

TBC, a joint venture between Sumitomo Corporation of Americas and Michelin North America Inc., is based in Palm Beach Gardens, Florida, and is one of North America’s largest marketers of automotive replacement tires. The company executes a multi-channel marketing strategy that includes automotive retail, wholesale and distribution, and franchise operations. As part of the transaction, Mavis and TBC have entered into a distribution agreement, through which TBC will provide tire distribution and wholesale services for Mavis retail locations.

While both the NTB and Tire Kingdom brands have long histories, the formation of TBC’s retail platform occurred during the early 2000s when the company acquired both brands through separate acquisitions.

Over the next two decades, TBC continued growing each brand and ultimately operated 392 NTB and 203 Tire Kingdom branded locations across a 17-state marketing territory prior to the sale to Mavis. Together, the NTB and Tire Kingdom brands represent the fourth largest independent tire dealership in the United States according to Modern Tire Dealer’s 2022 MTD 100 rankings.

Matrix provided merger and acquisition advisory services to TBC, which included valuation advisory, marketing the business through a confidential, structured sale process, and negotiation of the transaction.

The transaction was led by Managing Director Stephen Lynch, CFA, CPA, and Director William O’Flaherty.  David Shoulders, head of Matrix’s consumer & industrial investment banking group; Senior Associate Kyle Tipping, CFA; Senior Associate Matt Oldhouser, CPA and Senior Analyst Alexander Rakos also advised on the transaction.

Bradley Edmister and Aafke Pronk of Hogan Lovells US LLP served as legal counsel for TBC.