Polk Considers Options Including Sale, IPO

Automotive information specialist R.L. Polk has brought in advisors to explore 'strategic growth opportunities' including a possible sale or IPO, or acquisitions of its own.

Polk Vice President Lonnie Miller (pictured) spoke of 'accelerating growth' and told DRNO there was 'no defined timeline for the process'. New York-based investment banking firm Evercore Partners will help the company look at a wide range of options.

Based in Southfield, MI, the company uses registration data from every US state to build data on car purchase, forecast sales and advise manufacturers on recalls, ownership and loyalty; and also includes Carfax, a business it acquired in the 1990s which tracks the ownership and repair histories of vehicles. It is currently partnered with US online research specialist InsightExpress whose Ignite Auto research solution has been integrated with Polk's census of vehicle registration data to provide marketers with an understanding of how ad exposure drives buying behaviour.

While Polk does not disclose financial information, Miller says the balance sheet is positive and the business 'very healthy'. According to Automotive News, the company's 2011 revenue was around $359m, and according to Reuters, experts are suggesting possible bids of about $1 billion if the sale option is pursued.

Polk has been family-owned since it was established by Ralph Lane Polk in 1870 as a directory publisher, and got involved with automotive data in the 1920s when General Motors boss Alfred P. Sloan wanted figures to settle a dispute with Henry Ford over which company had the most cars on the road. The current Chairman and CEO is Ralph Polk's great grandson, Stephen Polk. Miller comments: 'our priority is on continuing this legacy of excellence, maintaining our strong commitment to our employees, customers and partners, and ensuring whatever path we take is in the best interest of our company and its long-term future.'

Outside the US, Polk has offices in Canada, Western Europe, Australia, Japan and China, and its global headcount is around 1,250, split between its CARFAX and Polk business units. Web site: www.polk.com .

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.

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