An activist hedge fund has made a nearly $3 billion offer to acquire Driven Brands, the parent company of Meineke. ADW Capital submitted the bid, claiming the company is being mismanaged by its current owner, private-equity firm Roark Capital.
The offer represents a roughly 40% premium over Driven Brands’ recent market price. ADW Capital is known for taking activist positions in underperforming companies.
Driven Brands operates a network of automotive service franchises, including Meineke, Maaco, and CARSTAR. Roark Capital acquired the company in a take-private deal several years ago.
ADW Capital argues Roark has failed to maximize Driven Brands’ value. The hedge fund believes its offer provides a fair price for shareholders.
The bid highlights continued activist investor interest in companies owned by private equity. ADW Capital is pushing for a sale process or operational improvements.
Roark Capital has not publicly responded to the offer. Driven Brands’ board is expected to review the proposal.
The outcome remains uncertain as negotiations may unfold in the coming weeks. The case reflects ongoing tensions between private equity and activist investors.
