Lithia Motors & Driveway (NYSE: LAD) announced it has acquired five locations in Florida, all serving the greater Tampa market. The acquisition is expected to add $430 million in annualized revenue and includes Hyundai of New Port Richey, the largest-volume Hyundai location in the United States eight years in a row.
With the addition of the Fink Auto Group, LAD now has more than $1 billion in revenue in the key Southeast Region. “We are excited to welcome Scott Fink and his high-performing teams to the Lithia & Driveway family,” said Bryan DeBoer, LAD’s President and CEO. “Their unparalleled commitment to serving their local communities and providing the highest level of customer service exemplifies Lithia & Driveway’s core values.”
This acquisition brings LAD’s total expected annualized revenue acquired to $4 billion since the launch of their five-year plan to reach $50 billion in revenue and $50 of earnings per share. “Four months ahead of schedule, we are excited to announce that we have achieved the annual network growth target of acquiring $4 billion in expected annualized revenue,” said DeBoer. “The acquisition market remains robust, and we are well positioned to continue the acceleration of our network growth strategy.” 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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