Automotive: Discount Tire Is Acquiring Tire Rack

On Friday, two of the largest tire suppliers in the U.S. announced the joining of forces, eschewing future competition with each other. Arizona-based Discount Tire is in the process of acquiring Indiana-based Tire Rack, and the transaction is expected to close on December 31.

If tire prices increase at Discount Tire or Tire Rack, it’s much more likely to be a result of the threat of a rubber shortage than the acquisition. The new combined management team believes it can make a bigger impact as a team than as competitors.

Discount Tire has for a number of years sponsored a car in NASCAR at select events.