OVERVIEW Through the first six months of 2014, 125 dealerships changed ownership, up from 89 through the same period in 2013 according to data compiled by The Banks Report. Eighty-three different buyers accounted for the 125 acquisitions. Note: The 125 does not include the 27 stores Lithia Motors will gain when it closes on its…
DealerTrack yesterday announced the acquisition of ASR Pro, a firm that provides services to the fixed operations department. Although the deal was only for $14 million ($12 million cash, $2 million in stock and another $3 million if future performance levels are met), it sort of is a big deal in that it positions DealerTrack…
When the New Jersey Assembly voted last week overwhelmingly to allow Tesla to sell its vehicles directly to consumers it looked like the Jim Appleton led dealer-association had their rear ends handed to them. There had to be more to this story. There is no way New Jersey’s assembly votes 77-0 against the dealers unless Appleton…
There have been 89 dealership acquisitions through the first five months of 2014 – up from 71 through the same period in 2013, according to data compiled by The Banks Report. Even though the number was up through May, the pace for the year was relatively flat – although, still brisk. Last year, there were 202…
A couple of days ago, on April 30, Southern Motors Chevrolet filed a lawsuit against General Motors for blocking its purchase of Fuller Chevrolet, located in Rincon, GA. According to dealers and individuals who broker dealership acquisitions one of the more under-reported dynamics of the dealership buy-sell field is the growing willingness on the part…
April 20, 2014 — Six New Jersey dealerships owned by Bob Ciasulli last week filed lawsuits against Toyota Motor Sales USA and American Honda Motor Corp. claiming dealer incentive programs created by manufacturers are illegal according to New Jersey state franchise law. The implications of this case could be far reaching because there is little… Continue Reading
A few years ago – prior to the recession – I walked the floor of the North American International Auto Show in Detroit with AutoNation CEO Mike Jackson (was not chairman at the time). At the time, AutoNation was consolidating all of its stores onto ADP’s dealer management system. Jackson shared a vision with me… Continue Reading
March 26, 2014 — The automotive retail system is on the cusp of revolutionary change. The transformation already is happening and we predict over the next 20 years, forces such as changing franchise laws, new retail models being developed by automakers along with the ever-lurking autonomous vehicle are going to upend the system as we… Continue Reading
YEAR IN REVIEW The pace of automotive dealership buy/sell activity was moderately brisk in 2013, with 180 dealerships accounting for 260 franchises changing owners in the U.S. January started with a bang when Group 1 Automotive announced the acquisition of one of Brazil’s largest retailers, UAB Motors Participacoes S.A., for $47.4 million cash, 1.45 million…
January 27, 2014 — Compliance officer sounds so Big Brother-ish or something that dates back to the Soviet era, but it’s quickly becoming a must-have for car dealers – and perhaps even the advertising agencies that service dealers. Here’s why: the Federal Trade Commission, the Consumer Financial Protection Bureau and the attorneys general from numerous… Continue Reading