Futu News has learned that global private equity giant Bain Capital has taken the initiative to acquire Bapcor Ltd., a well-known Australian automotive parts retailer. The latest valuation of the company exceeds AUD 1.83 billion (approximately USD 1.21 billion). Bapcor is the parent company of auto parts dealers Autobarn and service chain store Midas. The company announced on Tuesday that it received a conditional cash offer from the US private equity firm of AUD 5.40 per share last Friday. Bapcor stated that the board of directors will weigh the offer.

At the opening of Tuesday's trading on the Australian stock market, Bapcor's stock price rose by more than 14%, reaching its largest increase since March 2020.

Since reaching its historical high in mid-2021, the company's stock price has fallen by nearly 50%. Prior to this, due to inventory issues and the early departure of newly appointed CEO Paul Dumbrell, the company's profit margin experienced a series of downward adjustments.

Public information shows that Bapcor Ltd. is an Australian-based automotive parts retailer and service provider. The company operates through multiple sub-brands, including Autobarn, Midas, and Burson Auto Parts, providing a wide range of auto parts, tools and equipment and automotive maintenance services to the automotive aftermarket. Bapcor has broad business networks in Australia, New Zealand and Thailand, covering automotive parts distribution, wholesale and retail, as well as vehicle repair and maintenance services.

Regarding Bain Capital's acquisition, analysts believe that since Bapcor's stock price has fallen sharply in the past year due to profit cuts and management changes, Bain Capital may believe that the current stock price is undervalued, and by acquiring and improving the company's operations, it can achieve higher market value and investment return in the future.

Bain Capital's interest in acquiring Bapcor Ltd. may also be aimed at expanding its investment portfolio in the automotive aftermarket. Bapcor's extensive post-sales service network and brand awareness in Australia, New Zealand, and Thailand will bring stable sources of income and growth opportunities to Bain Capital.

Globally, the automotive aftermarket is a stable and growing market, especially against the background of the increasing service life of vehicles and the increasing demand for automobile maintenance and repair by consumers. Bain Capital may hope to capture market growth opportunities by acquiring Bapcor and leveraging this industry trend.