UPDATE 1-Uni-Select to sell U.S. auto parts business to Icahn Enterprises

Mon Feb 9, 2015 6:07pm EST
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article
[-] Text [+]

(Adds details)

Feb 9 (Reuters) - Canada's Uni-Select Inc said it would sell its U.S. auto parts distribution business to activist investor Carl Icahn's investment company Icahn Enterprises LP for about $340 million.

Icahn Enterprises said in a regulatory filing that the business acquired from Uni-Select would be operated independently from its auto parts subsidiary Federal-Mogul Holdings Corp.

Carl Icahn will resign as Federal-Mogul's chairman and member of its board before the deal closes. Daniel Ninivaggi, the company's co-chief executive and director, will also step down as a director of Icahn Enterprises.

The deal, expected to close in the first half of 2015, includes nearly all the assets of Uni-Select USA Inc and Beck/Arnley Worldparts Inc, Uni-Select said in a statement.

Uni-Select said it expected to incur an after-tax loss of $80 million-$100 million related to the transaction in the first quarter of 2015.

RBC Capital Markets was Uni-Select's financial adviser for the deal, while McCarthy Tetrault LLP and Barnes & Thornburg LLP were its legal advisers.

Norton Rose Fulbright Canada LLP was Icahn Enterprises' legal counsel. (Reporting by Manya Venkatesh in Bengaluru; Editing by Kirti Pandey)