BDC Capital‘s growth equity group has invested in a family ownership change for Edmonton, Alberta-based Lube City Corp, a provider of quick service oil changes. No financial terms were disclosed.
EDMONTON, Nov. 21, 2019 /CNW Telbec/ – Lube City Corp. (the “Company”, or “Lube City”), a leading Canadian provider of quick service oil changes, announced today a partnership with Motosel Industrial Group Inc. (“Motosel”) and BDC Capital to finance its ownership transition to the second-generation of the Kallis family, and enable the Company to pursue the next stage of growth and strategic expansion.
Through this new strategic relationship with Motosel, a fast-growing national provider of premium motor oil, Lube City is able to control its oil supply chain and continue to offer customers the highest-quality products, which are warranty-approved by all major OEMs. With Motosel’s involvement in the business and BDC Capital’s minority equity investment, the Company remains one of the few chains of quick service oil change businesses owned and operated by Canadians.
“We are very excited about this new partnership with Motosel and BDC Capital and look forward to pursuing the next chapter in Lube City’s growth,” said Jason Kallis, Lube City’s President. “This partnership enables our family business to continue to provide the same high quality service that our customers have relied upon, while enabling us to accelerate and expand our reach beyond our current store footprint.”
“Lube City is a great Alberta business and we look forward to working closely with Jason and his team to continue the Company’s expansion”, said Arash Iranpour, Operations Manager at Motosel. “It is an honour to partner with Lube City and supply the business with Motosel’s high quality motor oil and related products.”
“We are very excited to partner with both Motosel and the Kallis family,” said Jeremy Billan, Partner, Growth Equity at BDC Capital. “This partnership not only brings together two great entrepreneurial businesses to execute a generational transfer, but it also positions Lube City to pursue its next stage of meaningful growth.”
About Lube City
Based in Edmonton, Alberta, Lube City Corp. is one of the largest Canadian owned operators of quick service oil changes with 27 locations across Alberta. The Company offers a full suite of manufacturer warranty-approved automotive maintenance services, including oil changes, engine and transmission flushes, filter replacements, wiper blade replacements, and other regular automotive maintenance services, along with a complementary 31-point inspection on all packages. Lube City’s no-hassle drive-through locations are designed for the average person’s busy lifestyle, requiring no appointments and providing consistent high-quality customer service. For more information, please visit www.lubecity.ca.
Based in Coquitlam, BC, Motosel is a leading manufacturer and distributor of motor oil, lubricants and other petrochemical products, with products available in over 1,000 retail locations across Canada. Motosel has a track record of providing top quality products at competitive prices to customers on a global scale. Motosel’s top tier quality control measures ensure that all of the products meet the strict standards of global automobile manufacturers’ specifications. For additional information, please visit www.motosel.com.
About BDC Capital
BDC Capital is the investment arm of BDC – Canada’s only bank devoted exclusively to entrepreneurs. With more than $3 billion under management, BDC Capital serves as a strategic partner to the country’s most innovative firms. It offers a full spectrum of risk capital, from seed investments to transition capital, supporting Canadian entrepreneurs who wish to scale their businesses into global champions. Visit www.bdc.ca/capital.