Accuride Corporation
| Company type | Public |
|---|---|
| Industry | Commercial vehicle components manufacturing and distribution |
| Founded | 1986 |
| Headquarters | Livonia, Michigan , United States |
Area served | North America |
| Products | Commercial vehicle wheels, wheel-end parts, assemblies |
Number of employees | 1785 (1987) |
- Accuride International (California), a separate entity, produces drawer slides.
Accuride Corporation operates as a multifaceted manufacturer and distributor specializing in commercial vehicle components across North America. Headquartered in Livonia, Michigan, the company develops, produces, and sells commercial vehicle wheels, wheel-end parts, and assemblies under brand names such as Accuride Wheels, Gunite Wheel End Components, and KIC Wheel End Components.
Bain Capital establishment
Accuride was established in 1986 through the acquisition of the wheel-making division of Firestone Tire & Rubber Company. Under the leadership of Mitt Romney, Bain Capital acquired the firm and implemented operational improvements along with executive compensation restructuring. This strategy led to a rapid increase in profitability, with earnings climbing 20% within the first year and workforce numbers expanding by 16% to 1,785 employees. After a period of 18 months, Bain Capital sold Accuride to a mining conglomerate, realizing approximately $120 million from an initial $5 million investment. This successful turnaround contributed significantly to Romney and Bain Capital’s prominence in private equity.
Economic downturn and bankruptcy
The impact of the Great Recession caused a sharp decline in worldwide demand for commercial vehicles and freight components, which severely affected Accuride's financial performance. The company filed for Chapter 11 bankruptcy protection in October 2009 and pursued court authorization for reorganization in November of the same year. Accuride successfully exited Chapter 11 proceedings by February 2010, emerging with a revised capital structure.
Purchase by Crestview Partners
In 2016, Crestview Partners, a private equity firm based in New York, acquired Accuride at a cash price of $2.58 per share. At the same time, Accuride divested its Brillion Iron Works division to Metaldyne Performance Group (MPG) for $14 million.
In October 2024, amid challenges in the freight sector, Accuride once again filed for Chapter 11 bankruptcy, disclosing liabilities estimated between $500 million and $1 billion.
Business
Accuride specializes in producing wheels for commercial vehicles, wheel-end components, assemblies, and associated products. Its offerings are marketed under three primary brands: Accuride, Gunite, and KIC.