Lithia Motors & Driveway (NYSE: LAD) today announced it has acquired two stores in Florida from Fields Auto Group. The transaction includes a Land Rover and a Chrysler Jeep Dodge Ram location, both located in the Greater Orlando, Florida market. In addition, LAD announced the opening of a previously awarded Infiniti location in the Downtown Los Angeles area.
The two stores acquired from Fields Auto Group is another key milestone for Lithia & Driveway, marking further expansion in Florida and improves its density in the Southeast Region. “We are excited to welcome the high performing Fields Auto Group to the Lithia & Driveway family,” said Bryan DeBoer, Lithia Motors & Driveway’s President and CEO. “This acquisition will further expand the reach of Driveway, our digital in-home solution, providing products and services throughout the entire vehicle-ownership lifecycle in our growing Southeast Region.”
The Infiniti location in Los Angeles is expected to add $40 million in annualized revenue with Fields Auto Group expected to add $200 million in annualized revenue. This brings the total annualized revenue acquired to over $3.5 billion since the launch of LAD’s five-year plan to reach $50 billion in revenue and $50 of earnings per share. “We are approaching our annual target of $4 billion in revenue with five months remaining in the first year of our plan and are considerably ahead of schedule,” said DeBoer. This transaction was financed using the capital raised in concurrent equity and debt offerings late last year.
About Lithia Motors & Driveway:
Lithia Motors & Driveway is a growth company powered by people and innovation with a 5-year plan to profitably consolidate the largest retail sector in the country. They are a leading provider of personal transportation solutions in the United States and are among the fastest-growing companies in the Fortune 500 (#6 on 10-Year EPS Growth, #4 10-Year TSR in 2020). By providing a wide array of products throughout the entire lifecycle of the consumer's vehicle ownership experience through various consumer channels, they build magnetic brand loyalty. Operational excellence is achieved by focusing the business on convenient and transparent consumer experiences supported by proprietary data science to increase market share, consumer loyalty and team performance. Lithia's omni-channel strategy will continue to pragmatically disrupt the industry by leveraging experienced teams, vast owned inventories, technology, and physical network. By purchasing strong businesses, they further strengthen this network, leveraging their national digital home channel Driveway and building upon the massive regenerating capital engine. Together, these endeavors create a unique and compelling high-growth strategy that provides transportation solutions wherever, whenever, and however consumers desire.
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