PartsPoint takes over USN-Centuri wholesale chain
The PartsPoint Group concluded a letter of intent with USN-Centuri regarding the takeover of this company. It will integrate the 38 branches of this wholesale chain in its subsidiary Brezan Automaterialen.
USN-Centuri is the wholesale division of KwikFit, which came into the hands of Itochu Corporation in 2011. After a strategic evaluation by the KwikFit group, it has been decided that the full potential of USN-Centuri can best be achieved as part of the PartsPoint Group, because this offers the ability to combine the purchasing capacities of both companies.
PartsPoint will integrate USN-Centuri into its Brezan network. Most of the 31 Dutch USN sales points are near a Brezan branch and will be integrated with a Brezan branch. Three branches will remain open and continue under the name Brezan. In Belgium, the situation is different: six of the seven USN-Centuri branches will continue to operate, but now under the Brezan flag.
Wider product range
The number of Brezan branches will grow due to the integration of USN-Centuri. However, the takeover has also other advantages, says Cor Baltus, CEO of PartsPoint. “With the takeover, we acquire the KwikFit account and widen our product range. USN-Centuri has a very wide offering in a number of budget lines and has a very strong position in exhaust systems.” The USN-Centuri’s product range is a welcome addition to that of Brezan, which traditionally has a particularly strong position in A-brands.
According to Baltus, the takeover is also favourable for USN-Centuri’s customers. “Currently we are heavily investing in regional parts depots. The USN customers will benefit from this, both with respect to the availability of parts and the speed of delivery.”
Everything under one roof
Martin Post, General Manager of the KwikFit Nederland Group to which USN-Centuri belongs, explains the takeover in more depth. “PartsPoint is the ideal party to takeover USN-Centuri. KwikFit grew from being a fast-fitter to a full service garage company. For instance, we now supply the ‘Merkbeurt’ (brand service) that ensures that the vehicle’s factory guarantee is retained. This means that for car maintenance, we require increasingly more different parts, which without further investments being made in USN-Centuri, we would not be able to supply. Due to the takeover, with Brezan Automaterialen as our main supplier, we have everything under one roof and with KwikFit we can focus fully on our core business, offering the best vehicle service to our customers.”
Consolidation almost completed
The takeover of USN-Centuri seems to mark the end of a strong consolidation phase that has occurred in the Dutch spare-parts market in the past two years. During this process, PartsPoint became, among other things, owner of the wholesale organisations Staadegaard Automotive and Technische Centrale. In addition, PartsPoint took over a number of Brezan franchisees and acquired the majority shareholding in AD Benelux.
Baltus: “There are no longer many wholesale businesses that are ripe for takeover. We will currently concentrate on the integration of USN-Centuri and the further integration of the companies we had previously taken over.” Even so, he does not completely rule out other takeovers. “We will keep our eyes open.”
The USN-Centuri takeover must still be approved by the Netherlands Authority for Consumers & Markets (ACM), the Dutch anti-trust office.
Photo of KwikFit and Brezan Haarlem