LKQ Corporation to Sell Pick Your Part to Pacific Avenue Affiliate

Pacific Avenue Capital Partners has agreed to acquire Pick Your Part, a self-service salvage yard business with 61 locations across the US, from LKQ Corporation. The acquisition is expected to be completed by Q4 2025, subject to customary closing conditions. Pacific Avenue plans to focus on meeting customer needs and driving strategic growth initiatives.

Pacific Avenue Capital Partners, a Los Angeles-headquartered private equity firm, has agreed to acquire Pick Your Part (PYP), a self-service salvage yard business with 61 locations across the United States, from LKQ Corporation. The acquisition is expected to be completed by the fourth quarter of 2025, subject to customary closing conditions [1].

PYP is known for its environmentally-conscious auto salvage operations, offering customers the ability to remove and purchase used auto parts at affordable prices. The business operates one of the largest networks of self-service salvage yards in the U.S., serving a broad base of customers seeking cost-effective solutions [1].

Under Pacific Avenue's stewardship, PYP will focus on meeting the needs of its customers and driving strategic growth initiatives to strengthen its leading position in the market. The firm's extensive experience in corporate divestitures and complex transactions is expected to help unlock value through operational improvement, capital investment, and accelerated growth [1].

The acquisition is part of LKQ Corporation's strategic plan to simplify its corporate structure and focus on core segments. The sale of PYP to Pacific Avenue Capital Partners is expected to generate $410 million in enterprise value, with the net proceeds used to strengthen LKQ's balance sheet through debt repayment [2].

Pacific Avenue's Managing Partner, Chris Sznewajs, expressed his enthusiasm for the acquisition, stating, "PYP is a strong fit with our portfolio of industry-leading companies, and we are impressed by its ability to deliver affordable, high-quality parts to customers. We look forward to working with management to provide the resources and expertise needed to accelerate growth and create long-term value" [1].

The transaction is expected to be completed by the fourth quarter of 2025, subject to the satisfaction of customary closing conditions, including receipt of required regulatory approval [1].

References:
[1] https://www.morningstar.com/news/accesswire/1065223msn/affiliate-of-pacific-avenue-capital-partners-to-acquire-pick-your-part-from-lkq-corporation
[2] https://seekingalpha.com/news/4489158-lkq-sells-auto-salvage-business