SAINTE-SOPHIE, QC, June 6 /CNW Telbec/ - Lecavalier Auto Parts, a Quebec
family business with sales of over $40 million, and 185 employees in Quebec,
is accelerating its expansion. The recycling company is announcing the opening
of its third automobile parts recycling center in the Quebec region.
This strategic acquisition will allow the company to extend its territory
to the Quebec City region and its outlying areas. The transaction was
finalized Friday. Lecavalier Auto Parts was able to reach an agreement with a
recycling firm very well known in Quebec - Camions Masse - the terms of
negotiation as such being to the benefit of both parties. The sale was for an
undisclosed amount. Lecavalier will now be in control of massive automobile
recycling facilities that it will dedicate specifically to automobile parts.
"We have been trying, for a number of years, to buy a recycling company
in the region of Quebec, virtually the only place left in the province where
we are known to a lesser extent in the market".
When asked if the purchase of its foremost competitor in Quebec
(Pintendre) by the American giant LKQ was the motivating factor, Philippe
Fugère declared that Lecavalier had postponed its decision in order to
coincide with the September 2008 launch of its new web site, which will be the
world's first on-line catalogue for recycled parts. "Over the last 5 years, we
have invested more than $4 million in the technology that will permit us to
meet head-on the ever-growing demand in our industry".
In fact, we see the arrival of LKQ as an opportunity. Just like us, in
the Montreal region, the previous owners were well known in Quebec. Their
purchase by a large American company can only open doors for us. We have been
in this industry, in the province of Quebec, for 60 years, and our knowledge
of the clientele will only play in our favour.
Lecavalier Auto Parts anticipates the creation of 20 jobs in Quebec, over
the next year, with the integration of Camions Masse.
The employees of Lecavalier Auto Parts were informed of this transaction
this morning, and they have responded to the news with optimism. "Facing
discouraging job loss everywhere today, we are proud that our company
continues to grow.
The company consists of two recycling centers in Sainte-Sophie (in the
Laurentians), one in Saint-Jean-sur-Richelieu (in the Monteregie region) and
one located in Cumberland, to serve the greater Ottawa area.
With this acquisition we will therefore be in a position to increase to
10,000 the cars dismantled yearly - 2,000 vehicles, (starting in 2009 in our
St-Apollinaire (Quebec) workshops) - will be added to the 5,700 in Sainte
Sophie and 2,300 in Saint-Jean.
Lecavalier Auto Parts is a member of ARPAC - the association of car and
truck parts recyclers - a group comprised of 85 recycling companies across
ARPAC is the only association recognized by the SAAQ (The Quebec
automobile insurance company). The automobile parts recycling industry, in
Quebec, generates sales estimated at $150 million.
For further information:
For further information: Philippe Fugère, 1-877-743-2399 ext 1240; Roger
Fugère, 1-877-743-2399 ext 1246