LKQ’s $1 Billion Keystone Sale Plan Leaked—Here’s What It Could Unlock!

LKQ Corporation has once again found itself in the activist crosshairs. According to reports, hedge fund Ananym Capital has been engaging with the company for several months, urging management to sell or spin off its struggling European business to refocus on its more profitable North American operations. The push comes amid ongoing operational challenges across LKQ’s European footprint—where macroeconomic weakness, price competition, and legacy inefficiencies have hampered growth—and after CEO Justin Jude’s recent comments about a potential portfolio simplification process. In its latest earnings call, management acknowledged that additional asset sales and cost reductions, primarily in Europe, are under active review. Despite delivering solid North American share gains, LKQ has trimmed its full-year guidance and signaled limited visibility into European recovery. The activist campaign adds a new layer of urgency to the company’s multiyear transformation plan aimed at improving margins, streamlining operations, and sharpening capital allocation.