Memphis-based Premium Guard, Inc. (PGI) has finalized the acquisition of all key intellectual property and related assets of First Brands Group, including Champion Labs in Albion. The transaction was completed late last week and is pending approval from the bankruptcy court.
Under the terms of the agreement, PGI will pay $25 million for the acquisition, along with quarterly payments amounting to 1.25 percent of net sales, capped at $8 million.
Champion Labs ceased operations abruptly on February 23rd following the bankruptcy of its parent company, First Brands Group. The acquisition encompasses a diverse portfolio of patents, engineering expertise, and technical capabilities across several product categories. Notable brands included in the deal are Fram and Luberfiner filters, Trico and Amco wiper blades, Autolite spark plugs, AVM lift supports, and other automotive parts.
To date, First Brands Group has closed 17 manufacturing plants across the United States, resulting in the loss of more than 4,000 jobs. A few remaining plants continue to operate, supported by advance payments from major auto manufacturers Ford and Honda, both of whom depend significantly on First Brands for original equipment parts.