Prime Automotive Group sells Maine dealerships to Group 1 Automotive
Sale price expected to be $880M, according to SEC filing
SACO, Maine (WMTW) — Prime Automotive will sell its 30 dealerships, including its Maine locations, to a larger company that already operates nearly 200 dealerships in three countries.
Group 1 Automotive, Inc. announced plans to purchase the 30 dealership locations and three collision centers throughout New England and the Mid-Atlantic region.
Prime’s brands include Acura, Airstream, Audi, BMW, Buick, Chrysler, Dodge, Ford, GMC, Honda, Jeep, Land Rover, Mazda, Mercedes-Benz, MINI, Porsche, RAM, Subaru, Toyota, Volkswagen, and Volvo.
Prime operates several car dealerships along the Auto Mile in Saco.
In an announcement, Group 1 specified that Prime dealerships sold more than 52,000 new or used vehicles in 2020, generating $1.8 billion in annual revenues.
“We know Prime’s markets well and the opportunities they represent. We are also proud to welcome Prime Automotive’s 1,800 employees as new teammates to the Group 1 family,” Group 1′s Daryl Kenningham said in a statement.
In an SEC filing, Group 1 wrote that it expects to pay $880 million for the purchase.
Group 1, which operates dealerships in the U.S., U.K. and Brazil, said the deal is expected to close in November. After closing, the company says its portfolio will grow to 218 locations, including 46 in the Northeast.
So far this year, Group 1 reports $420 million in revenue.
Prime Automotive is currently owned by New York-based GPB Capital Holdings LLC. In August, the Wall Street Journal reported that GPB was trying to sell the dealerships while its founders face criminal fraud charges related to the firm’s private-equity operations
Copyright 2021 WABI. All rights reserved.