Standard Motor Products, Inc. (SMP) has announced its definitive agreement to acquire AX V Nissens III APS, a leading European aftermarket supplier in engine cooling and air conditioning products, from Nordic private equity firm Axcel and the Nissen family for approximately $388 million (€360 million) in cash. The acquisition aims to create a comprehensive global aftermarket parts supply leader, diversifying SMP’s portfolio with powertrain-neutral products. The acquisition price equals around 7.5x EBITDA, including estimated run-rate cost synergies worth between $8-12 million within 24 months. SMP expects the transaction to be accretive to GAAP EPS within the first full year. Nissens, founded in 1921 and renowned for its strong market presence and premium product offerings, will operate as a standalone unit under SMP, leveraging combined strengths for cost and revenue synergies. The transaction requires customary antitrust and regulatory approvals and is projected to complete in the latter half of 2024. Financial and legal advisories for SMP are being managed by J.P. Morgan Securities LLC, Hughes Hubbard & Reed LLP, and Plesner Advokatpartnerselskab, with J.P. Morgan Bank N.A., Bank of America, and Wells Fargo providing committed financing.

Automotive Aftermarket, Private Equity,United States, Denmark, Europe