Toronto, Ontario — An aftermarket parts giant is collecting a tidy sum for the sale of its pick-it-yourself business.
The Tennessee-based LKQ Corp. announced it has entered into a definitive agreement to sell its self-service segment, Pick Your Part, to an affiliate of Pacific Avenue Capital Partners for US$410 million (about $550 million).
According to the company, the move is part of a broader multi-year strategy to simplify LKQ’s portfolio. In a press release, Justin Jude, LKQ’s president and chief executive officer said the move would allow the company to focus its efforts on its most profitable activities.
“While Pick Your Part has played a meaningful role in our history, we believe that it no longer aligns with our long-term strategy,” he said. “[…] after having built the company through thoughtful acquisitions over many years, we have reached a point where it makes sense to assess opportunities to simplify and sharpen our focus.”
The announcement marks a significant change in course for the company under the direction of Jude, only became president in July 2024, having previously served as the head of Keystone Automotive.
As Jude points out, LKQ has primarily pursued growth through acquisitions throughout its history. Founded by Donald Flynn in 1998, LKQ immediately began buying auto recycling businesses in Florida, Michigan, Ohio and Wisconsin. During the 2000s, this strategy was expanded, allowing the company to enter new businesses.
In 2004, it entered both the aftermarket parts business and the self-service salvage yard market. In 2007, it bought Keystone Automotive Industries, one of the biggest aftermarket parts distributors in North America. Over the next few years, the company added heavy-truck recycling, remanufacturing and paint distribution to its business.
Then, it expanded overseas. In 2011, LKQ bought Euro Car Parts in the U.K. and followed that with purchases in Europe, including Sator Beheer, Rhiag and Stahlgruber and also bought specialty and glass businesses like Keystone Specialty and PGW.
In 2023, LKQ made a major move in Canada by buying Uni-Select, further strengthening its role in the parts and collision repair market. Most recently, LKQ has focused on refinishing, private-label paint and electric vehicle solutions. In 2024 and 2025 it launched a new refinishing division and added a battery remanufacturing facility in North Carolina, part of its plan to support the shift to electric vehicles while continuing to serve traditional collision repair.
The net proceeds from the sale will be used to strengthen LKQ’s balance sheet through debt repayment. The transaction is expected to close in the fourth quarter of 2025, pending customary closing conditions and regulatory approval.
