GM puts ACDelco up for sale

[DainBramaged]

General Motors announced today that it has retained Merrill Lynch to explore the sale of ACDelco, GM's aftermarket parts unit.

The move is part of GM's attempt to raise up to $4 billion by selling assets. The potential asset sales are among a number of actions the company is taking to try to bolster its liquidity by $15 billion through the end of 2009.

A sale could promote more rapid growth of ACDelco globally, GM said in a statement. The supplier employs about 600 people.

GM has said it is exploring the sale of the Hummer brand and a manufacturing and technical center in Strasbourg, France. Last week the automaker began distributing a sales prospectus on Hummer to potential buyers.

PRESS RELEASE: General Motors Explores Potential Sale of ACDelco

General Motors (NYSE:GM) announced today that it is exploring a potential sale of ACDelco, its global independent aftermarket parts business, a brand of GM Service & Parts Operations. A sale is expected to promote more rapid growth of ACDelco globally.

As the company announced in July, GM is undertaking a number of initiatives to bolster its liquidity position by approximately $15 billion through year-end 2009, including the sale of assets which are expected to generate approximately $2-4 billion of liquidity. In addition to the ACDelco business, GM previously announced it is exploring the potential sale of its Hummer brand and its technical and manufacturing center in Strasbourg, France.

ACDelco provides light-duty maintenance and repair parts and associated services for both GM and non-GM vehicles in more than 100 countries. Part of GM Service & Parts Operations, ACDelco is headquartered in Grand Blanc, MI, with approximately 600 employees worldwide.

GM has retained Merrill Lynch to assist in this initiative.

About ACDelco

With over 100 years of experience in the automotive aftermarket industry, ACDelco is a global leader in automotive replacement parts and related services. Products include maintenance parts commonly replaced during the lifetime of a vehicle (e.g., batteries, oil filters, air filters, wiper blades, shocks and brakes), as well as repair parts (e.g., alternators, radiators, chassis and heating/cooling components).

ACDelco is among the world's best known comprehensive All Makes, All Models providers, featuring high quality auto parts for both GM and non-GM vehicles and services, with the brand's "genuine OE" reputation signifying high quality replacement parts, support and training in the automotive aftermarket. In the United States, ACDelco offers 37 full product lines with over 100,000 part numbers, comprised of both GM original equipment and All Makes, All Models product.

http://www.autonews.com/apps/pbcs.dll/article?AID=/20081022/ANA02/810229973/1078

[Uben]

1. Wonder how much they want?

I've got extra food stamps this month!