Kian-Backed PARC Auto Becomes Largest Meineke Franchisee, Expands Executive Team and Enters New Markets

Rhea-AI Summary

PARC Auto, backed by Kian Capital, has become the largest Meineke franchisee in just over a year since its formation. The company has expanded from 15 to 35 locations through new store openings and acquisitions, entering markets in Florida, Indiana, Texas, and Oregon. PARC Auto recently received the Growth Award at the annual Meineke Conference.

The company has strengthened its executive team with the addition of Russ Bowling as Chief Operating Officer, complementing the recent appointments of Don Hill as CEO and Tara Simecek as CFO. PARC Auto plans to continue its growth strategy, focusing on building density in target markets and maintaining high-quality service standards.

Positive

• Rapid expansion from 15 to 35 locations in just over a year
• Entry into attractive markets: Florida, Indiana, Texas, and Oregon
• Received Growth Award at annual Meineke Conference
• Strengthened executive team with experienced COO Russ Bowling
• Plans to pilot Meineke's electric vehicle concept in Oregon

Negative

• None.

Financial Analyst

PARC Auto's rapid expansion from 15 to 35 locations in just over a year is impressive, signaling strong growth potential in the automotive service sector. The strategic acquisitions and new store openings in key markets like Florida and Texas (two of the top four U.S. automotive markets) position the company for continued growth. However, investors should note that rapid expansion can also bring integration challenges and increased operational costs in the short term.

The addition of experienced executives, particularly a COO with a background in managing 187 retail locations, suggests a focus on operational efficiency and scalability. This could lead to improved margins and profitability as the company grows. The partnership with Driven Brands (NASDAQ: DRVN) provides a solid foundation for expansion, potentially offering synergies and brand recognition benefits.

While the Growth Award from Meineke is encouraging, investors should focus on concrete financial metrics in future reports to assess the true impact of this expansion on profitability and return on investment.

Market Research Analyst

The automotive aftermarket service industry is showing signs of consolidation, with PARC Auto's rapid growth exemplifying this trend. This consolidation could lead to economies of scale and improved bargaining power with suppliers, potentially boosting profitability for larger players like PARC Auto.

The company's expansion into electric vehicle (EV) servicing in Oregon is a forward-thinking move, aligning with the growing EV market. This diversification could provide a competitive edge and tap into a high-growth segment of the automotive industry. However, the EV service market is still nascent and success will depend on effective execution and consumer adoption rates.

PARC Auto's focus on high-touch service and customer satisfaction is important in an industry where brand loyalty can significantly impact long-term success. Their strategy of building density in target markets could lead to stronger local brand recognition and operational efficiencies. Investors should monitor customer satisfaction metrics and repeat business rates as indicators of the strategy's effectiveness.

ATLANTA & CHARLOTTE, N.C.--(BUSINESS WIRE)-- Kian Capital-backed PARC Auto, a leading Meineke Car Care Center franchisee, is proud to announce the expansion of its executive team with the addition of Chief Operating Officer Russ Bowling, along with its rapid growth to become the largest Meineke franchisee in just over one year since the formation of the Kian platform.

The PARC Auto platform was established in July 2023 and has since grown from 15 to 35 locations through a combination of new store openings and four strategic acquisitions. In addition to continuing operations in Louisville, KY, where the platform was established, the company now has locations in the highly attractive geographic markets of Florida, Indiana, Texas and the Portland, Oregon metropolitan area. The company plans to continue growing throughout the country, focusing on building density in target markets, and remains committed to high-touch service, deep customer satisfaction and strong operational performance.

As a result of the platform’s expansion, PARC Auto was recently awarded the Growth Award at the annual Meineke Conference. Meineke is part of the Driven Brands (NASDAQ: DRVN) portfolio of leading automotive services businesses, including Take 5 Oil Change, Maaco, Fix Auto USA and CARSTAR.

In addition to these exciting milestones, PARC Auto is pleased to announce that Russ Bowling has joined the team as Chief Operating Officer. The addition complements the company’s executive team following the January 2024 announcement that Don Hill and Tara Simecek joined as Chief Executive Officer and Chief Financial Officer, respectively. Russ has a deep background in the general automotive repair space, having previously served as the Vice President of Operations for a large Jiffy Lube franchisee, managing the business operations of 187 retail oil change, preventative maintenance and general automotive repair locations. He began his career with Pro Oil Shop Inc. Havoline Xpress Lube.

“What a year it has been — I am excited about the progress we have made in a short period of time,” shared PARC Auto CEO Don Hill. “We could not have achieved these milestones without Kian’s strategic guidance and the strong relationship we have established with Driven Brands. We’re excited to have added stores in Florida and Texas, two of the top four automotive markets in the U.S., and opened locations in Oregon, where we plan to soon pilot Meineke’s electric vehicle concept. Planting new flags in target markets across the nation has created significant momentum for the platform, and we look forward to further growth and change over the next year and beyond.”

“We established the platform with a specific vision,” commented Kian Principal Caldwell Zimmerman. “Implementing Kian’s buy-and-build strategy coupled with the hiring of three immensely talented executives has rapidly transformed PARC Auto into the clear leader in the Meineke system. With an increasing amount of attention and investment in the sector, this is only the beginning for PARC Auto. We will continue to focus on scaling the business and providing strategic support to the team in the months ahead.”

“I am excited to be joining an established team of professionals that have created a significant amount of value in a short amount of time,” said PARC Auto COO Russ Bowling. “I look forward to bringing my expertise to better optimize company operations as we continue ahead with our goal of furthering our leadership through strategic M&A and new store openings.”

PARC Auto is actively seeking partnerships with Meineke franchisees and independent general automotive repair companies. Business owners interested in learning more should contact David Duke, Partner, Business Development at Kian, at dduke@kiancapital.com.

About PARC Auto

PARC Auto is a franchisee of Meineke Car Care Centers that provides general automotive repair and maintenance with services including oil changes, brake and suspension repair, exhaust services, tire replacement, fluid changes and more. PARC Auto currently owns and operates 35 high-performing locations across Florida, Indiana, Kentucky, Oregon, Texas and Washington, and it has a reputation of strong customer satisfaction driven by its comprehensive, transparent and high-quality inspection and repair process. To learn more, visit www.parcautogroup.com.

About Kian Capital Partners

At Kian, we forge partnerships to ignite growth and build enduring value. Our goal is to provide flexible financial resources and additional operational horsepower to scale lower-middle-market businesses, realize aspirations and deliver long-term investment returns through genuine partnership. Proud to be recognized on Inc.’s Founder-Friendly Investors list for three consecutive years, Kian is a private investment firm with $1 billion of capital under management and a focus on four core industry sectors: consumer, services, value-added distribution and specialty manufacturing. Our team of seasoned investors has over 100 years of collective experience providing transformational capital solutions and board-level strategic and operational guidance to founder/owner operated businesses. To learn more, visit www.kiancapital.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240815572672/en/

Business Inquiries

David Duke

Partner, Business Development

dduke@kiancapital.com

T 470.823.3008



Media Inquiries

Allie Gamble

MiddleM Creative (on behalf of Kian Capital)

allie@middlemcreative.com

T 704.280.1432

Source: Kian Capital Partners

FAQ

How many locations does PARC Auto now operate as a Meineke franchisee?

PARC Auto has expanded from 15 to 35 Meineke locations in just over a year since its formation in July 2023.

What new markets has PARC Auto (DRVN) entered recently?

PARC Auto has entered new markets in Florida, Indiana, Texas, and the Portland, Oregon metropolitan area.

Who is the new Chief Operating Officer of PARC Auto?

Russ Bowling has joined PARC Auto as the new Chief Operating Officer, bringing extensive experience in the automotive repair industry.

What award did PARC Auto receive at the annual Meineke Conference?

PARC Auto was awarded the Growth Award at the annual Meineke Conference, recognizing its rapid expansion.

What future plans does PARC Auto have for expansion?

PARC Auto plans to continue growing throughout the country, focusing on building density in target markets and piloting Meineke's electric vehicle concept in Oregon.