The Federal Trade Commission (FTC) has required Valvoline Inc. and Greenbriar Equity Fund V., L.P. to divest 45 quick-lube oil change shops as part of their $625 million acquisition deal. This decision aims to resolve antitrust concerns that could arise from the merger.

Valvoline intends to acquire around 200 quick-lube oil change outlets currently operated by Greenbriar under the name Oil Changers. These outlets are known for providing quick oil changes, typically completed in under 30 minutes without the need for an appointment.

The FTC's proposed divestiture order is designed to protect consumers from potential price increases and declines in service quality for quick-lube oil changes across several states, including California, Kentucky, Idaho, Illinois, Indiana, Michigan, Washington, and Wisconsin.

According to Daniel Guarnera, Director of the FTC’s Bureau of Competition, the action taken by the FTC is crucial to maintaining affordable and accessible quick-lube oil change services for American consumers. The divestiture is expected to preserve competition in the market, which is vital for keeping prices low and service quality high.

The FTC's allegations suggest that without the divestiture, the merger would significantly reduce competition in 25 local markets where Valvoline and Oil Changers compete directly. The Commission voted 3-0 to issue the complaint and accept the consent agreement for public comment.

Members of the public will have 30 days to submit comments regarding the proposed consent agreement, with instructions available on the docket. Once comments are processed, they will be published on Regulations.gov.