The latest from IAA;
IAA today announced that the UK’s Competition and Markets Authority (“CMA”) has cleared IAA’s acquisition of SYNETIQ Ltd. (“SYNETIQ”), a leading integrated salvage and vehicle dismantling company in the United Kingdom, for £225 million. SYNETIQ is an environmental leader and sells parts from salvage vehicles which re-enter the automotive supply chain. SYNETIQ has 15 locations and approximately 500 employees throughout the UK.
John Kett, Chief Executive Officer and President of IAA, said,
“We are thrilled to receive regulatory approval from the CMA and officially welcome the SYNETIQ team to IAA. This transaction will significantly expand IAA’s business and services in the United Kingdom, and we are excited to work together to meet our customers’ growing needs. SYNETIQ’s focus and expertise on green parts will be an excellent addition to our focus on sustainability in the UK and around the world. We look forward to moving forward with the integration process.”
Tom Rumboll, Chief Executive Officer of SYNETIQ, said,
“We are proud to join IAA, a leading global digital marketplace with a significant international footprint. As a combined entity, our diversified portfolios and proven management teams will be tremendous assets as we work to make the vehicle salvage industry more sustainable. We are grateful to IAA for this opportunity and are excited about the long-term opportunities of our shared business.”
COMMENT FROM e2e;
e2e wishes Synetiq well under new ownership
The CMA has announced today that it has cleared the completed acquisition by IAA, Inc. of SYNETIQ Holdings Limited.
e2e wishes Synetiq well in this new venture and welcomes the clarification that the CMA announcement brings for all parties. The new ownership makes it inappropriate for Synetiq to remain part of the e2e network and the company’s membership status will be withdrawn. Discussions are already underway with the Synetiq management team to plan and agree related logistics; ensuring a professional and seamless end to the company’s collection and processing of total loss vehicles on behalf of e2e.
The resilience and flexibility of e2e’s network model means that risk of over exposure to one business is mitigated and capacity is always available. Consistency of standards is guaranteed through member agreements enforced by rigorous SLAs and clients will experience no disruption to services.
Jim Loughran, (pictured) CEO of e2e Total Loss Vehicle Management said:
“Although the CMA announcement has landed today, the reality is that both we and Synetiq have been planning for their withdrawal from the membership since Autumn last year. It’s therefore safe to say that the transition will be efficient and seamless for all parties involved and e2e’s clients will experience business as usual in terms of our network performance. Entrepreneurship and innovation is alive and well in the salvage and automotive recycling industry and competition in the market place makes us all better operators. We are progressing with the business transformation plans underway at e2e and we look forward to bringing new solutions to market later this year – once again raising the bar for our competitors.”