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LKQ to sell 2 Czech automotive parts distributors

Chicago-based LKQ Corp. said Jan. 8 that it agreed to sell its equity interests in two Czech wholesale automotive parts distributors to Swiss Automotive Group AG.

Financial terms of the transaction were not disclosed.

In May 2018, LKQ bought German automotive parts distributor Stahlburger GmbH. The European Commission approved this transaction, excluding Stahlgruhber's two wholesale businesses in the Czech Republic. The acquisition of the Czech operations was referred to the Czech Competition Authority for review.

The Czech Competition Authority then approved LKQ's acquisition of the two Czech distributors, subject to certain divestiture conditions. LKQ subsequently decided to sell the entire equity interests of the two distributors.

LKQ Europe will continue to operate its existing Auto Kelly a.s. and ELIT s.r.o. businesses in the Czech Republic.

LKQ expects to complete the sale in early 2020, subject to customary regulatory approvals.