Asbury Automotive acquires Jim Koons Automotive in one of the largest auto retail deals in history
ABG -2.68%Now!Asbury Automotive Group (NYSE:ABG) inked a deal on Friday to acquire Jim Koons Automotive Companies, which is the ninth largest privately-owned dealership group in the U.S.
The Georgia-based company said the sale of the Mid-Atlantic Region company is one of the most sizable in auto retail history, representing over $3B in revenue in 2022 and includes 20 dealerships, 29 franchises, six collision centers and one of the highest volume Toyota (TM) and Stellantis (STLA) dealerships in the U.S.
The transaction is expected to close in Q4 of 2023 or early in Q1 of 2024. Asbury Automotive (ABG) plans to fund the purchase price with its existing liquidity, credit facility and cash on hand.
"This acquisition is transformative for our company, enabling Asbury to further expand into one of the country’s top economies in one of its fastest growing regions, with some of the U.S.’ best performing dealerships," noted Asbury Automotive (ABG) CEO David Hult. "Koons has an impressive history of achievement in sales, CSI and revenue across its 20 dealerships, and is legendary for its emphasis on people – employees and community – and for giving back," he added.
Asbury Automotive (ABG) currently operates 138 dealerships, representing 31 domestic and foreign brands, as well as 32 collision repair centers.