Automotive aftermarket parts provider Advance Auto Parts (Advance) announced that it will sell Worldpac, Inc. to global investment firm Carlyle for $1.5 billion in cash.

The transaction is expected to close before the end of the year.

Newark, CA-based Worldpac — an equipment and quality aftermarket replacement parts importer and distributor — generated approximately $2.1 billion in revenue and around $100 million in EBITDA in its last 12 months through June 2024, according to an Aug. 22 news release from Carlyle. After taxes and transaction fees, Advance anticipates net proceeds of approximately $1.2 billion.

“The sale enables our team to sharpen their focus on decisive action to turn around the Advance blended box business,” Advance Auto Parts President and CEO Shane O’Kelly said in the release. “Proceeds from the transaction will provide greater financial flexibility as we continue our strategic and operational review to improve the productivity of the company’s remaining assets and better position the company for future growth and value creation.”

Washington, D.C.-based Carlyle conducts operations through three business segments: Global Private Equity, Global Credit and Global Investment Solutions. The company has $435 billion in assets under management as of June 30.

Global Investment has purchased approximately $13 billion in industrial carve-outs over the past 2 decades including — Axalta, Nouryon, Atotech, Signode and Allison Transmission.

Advance is represented by financial advisor Centerview Partners and Hogal Lovells U.S., LLP as legal advisor. Carlyle is represented by financial advisor BofA Securities and legal advisor Latham & Watkins.