Genuine Parts Company, Atlanta, GA, has agreed to acquire Alliance Automotive Group, a European distributor of vehicle parts, tools and workshop equipment for $2 billion.

"We are excited to combine with AAG and enter the European markets with critical scale and a leading market position in the automotive aftermarket," said Paul Donahue, Genuine Parts Company's president and CEO. "AAG is poised to contribute significant sales growth and earnings accretion to Genuine Parts Company and also serves to enhance the GPC platform for long-term, sustainable expansion across the global automotive parts industry."

AAG is the second largest parts distribution platform in Europe, with a focus on light vehicle and commercial vehicle replacement parts. Headquartered in London, AAG has 7,500 employees and over 1,800 company-owned stores and affiliated outlets across France, the U.K. and Germany.