Ashland Inc. announced that it has signed an agreement to acquire OCH International, Inc.(Oil Can Henry’s), which operates and franchises of 89 quick-lube stores on the West Coast.
The acquisition is expected to be completed in the first quarter of calendar 2016. Financial terms were not disclosed.
Oil Can Henry’s, based in Portland, OR, is the 14th largest quick-lube network in the United States, servicing one million vehicles annually.
Founded in 1978, it employs approximately 435 people and currently operates 47 company-owned stores and 42 franchise locations in Oregon (38 sites), Washington (29), California (11), Arizona (five), Idaho (three) and Colorado (three).
The addition of Oil Can Henry’s will complement the existing Valvoline Instant Oil Change network of approximately 940 company-owned and franchise stores, while also marking Valvoline’s entry into the quick-lube m in some Pacific Northwest markets.
“The addition of Oil Can Henry’s offers attractive growth opportunities for
“Valvoline is a strong and growing business. We see significant opportunities to grow the Valvoline Instant Oil Change network and we are increasing our investment to accelerate store count growth, both organically and through acquisitions,” said William A. Wulfsohn, Ashland chairman and chief executive officer. “The acquisition of Oil Can Henry’s is consistent with this strategy as it will provide high returns on invested capital, will increase our quick-lube store count by nearly 10 percent and will expand our geographic footprint. This acquisition comes at an exciting time as we prepare to separate Valvoline into an independent, publicly traded company.”
“Oil Can Henry’s has been part of my life since 1988 when my father, John E. Shepanek, acquired the company,” said Chris Shepanek, CEO of Oil Can Henry’s. “I’m extremely proud of what we have achieved and look forward to the opportunities this creates for our team. This is a testament to the smart, hard-working people and innovative programs that have made Oil Can Henry’s an industry leader. Our focus on delivering superior service that people trust has earned Oil Can Henry’s the loyalty of vehicle owners throughout the West.”
Ashland has administrative and research operations in Delaware as part of its specialty chemical and food ingredients businesses. Its water soluble chemicals business was sold to a private equity firm and is now known as Solenis The company has its headquarters near Wilmington.
Ashland plans to spin off the Valvoline oil business into a publicly traded company Valvoline is a remnant of Ashland’s once large oil refining and gas station business.