2 largest parking companies in proposed merger
WASHINGTON (AP) — The Justice Department is requiring the two largest parking management companies in the U.S. to sell 107 of their garages and lots in the central business districts of 28 cities in order to proceed with a merger.
If the deal is approved by a federal court, Chicago-based Standard Parking Corp. will acquire Central Parking Corp. of Nashville, Tenn., in a transaction valued at $345 million. Standard and Central each operates some 2,200 parking facilities.
Cities where the companies will sell some facilities include New York City, Chicago, Los Angeles, Houston and Philadelphia.
The Justice Department said that without the divestitures, the combined company would have gained a dominant market share, resulting in higher prices and reduced service to motorists.