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Shifting gears: Auto service group Driven Brands files for an estimated $600 million IPO

December 22, 2020

Driven Brands Holdings, North America's largest automotive services company with more than 4,100 locations, filed on Tuesday with the SEC to raise up to $100 million in an initial public offering. However, the deal size is likely a placeholder for an IPO we estimate could raise $600 million.

Through a portfolio of highly recognized brands, including Maaco and Meineke, Driven Brands has a growing and highly-franchised base of more than 4,100 locations across 49 states in the US and 14 countries internationally. Its platform provides a range of core consumer and commercial automotive needs, including paint, collision, glass, vehicle repair, oil change, maintenance, and car wash.

The Charlotte, NC-based company was founded in 2015 and booked $798 million in revenue for the 12 months ended September 30, 2020. It plans to list on the Nasdaq under the symbol DRVN. Driven Brands Holdings filed confidentially on March 26, 2020. Morgan Stanley, BofA Securities, Goldman Sachs, J.P. Morgan, Barclays, Credit Suisse, Baird, Piper Sandler and William Blair are the joint bookrunners on the deal. No pricing terms were disclosed.