O'Reilly Wants To Buy NAPA Auto Parts, Creating An Aftermarket Giant

O'Reilly Automotive Inc has placed a $10 billion bid to acquire Genuine Parts Company’s automotive unit.

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Anthony Alaniz

By: Anthony Alaniz

Jul 7, at 6:00pm ET

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O’Reilly Automotive Inc has placed a $10 billion bid to acquire Genuine Parts Company.
Genuine Parts Company owns Napa Auto Parts.
Genuine Parts Company wants to separate its auto parts unit and industrial operations by early next year.

If you have ever worked on your car, you likely have stepped inside an auto parts store. But the landscape of offerings could soon change drastically if the company that owns O'Reilly’s Auto Parts gets its way.

According to a new Bloomberg report, citing "people familiar with the matter," O’Reilly Automotive Inc has placed a $10 billion bid to acquire Genuine Parts Company’s aftermarket auto parts unit, which includes Napa Auto Parts. It’s unclear whether Genuine Parts will accept the bid, keep the unit, or sell it to another bidder.

Genuine Parts announced in February that it wanted to separate its auto parts unit and industrial operations into two publicly traded companies. At the time, Will Stengel, GP’s CEO, said:

'Creating two focused, independent companies sharpens customer and market alignment, increases clarity and speed, simplifies operations and enables disciplined, business-specific investments to unlock long-term value.'

What Will O'Reilly Automotive Inc Get?

Genuine Parts’ auto operations include more than 10,000 global locations, including in Australia, with over 6,000 Napa Auto Parts stores in the United States. The company’s auto unit generated over $15 billion in sales in 2025, its 100th year in operation.

It’s unclear what O’Reilly Automotive Inc plans to do with the acquisition. Bloomberg’s sources said an announcement could be made as soon as this summer, with Genuine Parts expected to split the businesses by early 2027.

What do you think?

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The news boosted Genuine Parts’ stock price, pushing it 13 percent higher while O’Reilly Automotive fell 2.6 percent. The volatility of the automotive industry has pushed investors to prefer companies with simpler portfolios, according to the publication.

Motor1’s Take: Less competition is never good for the consumer, and the last thing consumers need right now is fewer choices. This often leads to higher prices, lower-quality service, and frustrated owners.