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Sat. Jun 15th, 2024

Lithia is expanding through acquisitions in the Memphis and Toronto markets

By meerna Jun12,2024

Lithia & Driveway’s huge portfolio is constantly growing.

The giant dealership group added three more locations this week, acquiring Sunrise Auto Group in Memphis, Tennessee, and Woodbridge Hyundai in the Toronto area.

Sunrise Auto includes Sunrise Buick GMC in Wolfchase in Memphis and Sunrise Chevrolet Buick GMC in Collierville in nearby Collierville, Tenn.

LAD reported that the three stores are expected to generate more than $240 million in annual revenue, bringing the company’s total expected year-to-date revenue to more than $5.6 billion. According to the company, the acquisitions were financed using existing balance sheet resources.

LAD has over 300 dealers in the US, Canada and the UK. Sunrise dealers are the first dealerships in the Memphis market. The company said the Woodbridge Hyundai location will eventually occupy an existing facility it owns, allowing for greater profits.

“We are excited to come to Memphis and build on Sunrise’s goodwill in the community, as well as the addition of Woodbridge Hyundai, which has been honored as a Top Dealer to Work For by Automotive news for the past five years,” LAD President and CEO Bryan DeBoer said in a press release.

“We offer a unique retail experience built on ease, convenience and optionality throughout the entire vehicle ownership lifecycle, and we know these impressive teams will help us meet customers wherever, whenever and however they want.”

Sunrise Auto Group was founded 35 years ago by Bob Berkheimer and has become the largest Buick GMC dealership in Memphis, generating 75% of total Buick and GMC sales in the market, according to Kerrigan Advisors, which represented the seller in the transaction. He won several General Motors Mark of Excellence and Dealer of the Year awards.

“First and foremost, I want to thank our employees and the Memphis community for their unwavering support and loyalty over the last several decades,” Berkheimer said. “When I was considering this sale, it was extremely important to find the right buyer who would continue our legacy here. I am confident that dealers, including my employees, will continue to experience great success under Lithia.”

By meerna

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