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KAR stock falls after private-equity deal reported dead

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KAR Auction Services Inc. stock took its biggest daily drop in more than three months Tuesday after Reuters reported the provider of wholesale vehicle auction services ended talks to sell itself to private-equity firm Clayton Dubilier & Rice LLC.

Carmel-based KAR shares tumbled 8.9 percent Tuesday for their biggest one-day drop since Aug. 7 before rebounding slightly. Shares closed at $17.45 each Tuesday, down 6.5 percent on the day.

The companys stock had advanced 39 percent this year through Monday.

The auction company, which has 68 North American locations and whose owners include Kelso Group and Goldman Sachs Group Inc., ended “advanced talks” with Clayton Dubilier, Reuters reported without identifying its sources. Clayton Dubilier, one of the industry’s oldest private-equity firms, and the auction company failed to agree on price, Reuters said.

KAR offers whole-car and salvage services as well as financing and had previously sought a leveraged buyout, Reuters reported in August.

The auction company doesn’t comment on rumors or speculation, Jonathan Peisner, vice president and treasurer of KAR, said. A message left with an assistant for Tom Franco, a partner at New York-based Clayton Dubilier, wasn’t immediately returned.
 

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  1. So much for Eric Holder's conversation about race. If white people have got something to say, they get sued over it. Bottom line: white people have un-freer speech than others as a consequence of the misnamed "Civil rights laws."

  2. I agree, having seen three shows, that I was less than wowed. Disappointing!!

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  4. Say It Loud, I'm Black and Ashamed: It's too bad that with certain "black" entertainment events, it seems violence and thuggery follows and the collateral damage that it leaves behinds continues to be a strain on the city in terms of people getting hurt, killed or becoming victims of crimes and/or stretching city resources. I remember shopping in the Meadows area years ago until violence and crime ended make most of the business pack you and leave as did with Lafayette Square and Washington Square. Over the past 10 to 12 years, I remember going to the Indiana Black Expo Soul Picnic in Washington Park. Violence, gang fights and homicides ended that. My great grandmother still bears the scares on her leg from when she was trampled by a group of thugs running from gun fire from a rival gang. With hundreds of police offices downtown still multiple shootings, people getting shot downtown during Black Expo. A number of people getting shots or murdered at black clubs around the city like Club Six on the west side, The Industry downtown, Jamal Tinsley's shot out in front of the Conrad, multiple fights and shootings at the skating rinks, shootings at Circle Center Mall and shooting and robberies and car jackings at Lafayette Mall. Shootings and gang violence and the State Fair. I can go on and on and on. Now Broad Ripple. (Shaking head side to side) Say It Loud, I'm Black and I'm Ashamed.

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