On May 14, 2026, Diversified Royalty Corp., a Vancouver-based multi-royalty corporation that acquires top-line royalties from multi-location businesses and franchisors in North America, announced that it and a newly formed wholly owned subsidiary had entered into a definitive agreement to acquire the Mr. Lube + Tires franchisor business in Canada from Mr. Lube Canada Limited Partnership and Mr. Lube Canada GP Inc. for an aggregate purchase price of $235 million, subject to customary closing and post-closing adjustments. The acquisition closed on June 16, 2026 through DIV's newly formed subsidiary Mr. Lube Canada Ltd.

Mr. Lube + Tires, founded in Edmonton in 1976, is Canada's leading automotive service chain specializing in fast, drive-in drive-through, no-appointment-needed vehicle maintenance, serving over 2 million Canadian customers annually and generating over $500 million in system sales. DIV and its subsidiary ML Royalties Limited Partnership received an aggregate of $34.1 million in royalties and management fees from Mr. Lube + Tires in 2025, and DIV estimates that the combined Mr. Lube + Tires business in the Purchaser will generate approximately $58.7 million of Adjusted EBITDA in the 12 months following closing.

The acquisition was financed through a combination of cash on hand, existing acquisition facility capacity, a new $212.5 million senior secured Purchaser Credit Facility provided by a lending syndicate, rolled equity from Mr. Lube + Tires management and equity issued to certain Mr. Lube + Tires stakeholders. DIV has been partnered with Mr. Lube + Tires through a royalty structure since 2015.