One of the largest auto retailers in the country today announced an agreement to buy two franchises from Denver-based Murray Motor Imports Co.
Sonic Automotive is expected to add roughly $200 million in revenue in its first year operating Murray BMW of Denver and Mercedes-Benz of Denver. These two dealerships bring Sonic Automotive’s footprint in the area to four dealerships as the auto group already operates Mountain States Toyota and Lone Tree Cadillac.
The deal is expected to be complete by the end of July, and is dependent on normal closing conditions — including manufacturers’ approval.
Charlotte, N.C.-based Sonic Automotive is a Fortune 500 company that operates more than 100 dealerships in 14 states and 25 major metro areas. Its first-quarter earnings were $21.7 million, a 2.6% increase over 1Q12.
Maybe our friends at the NIADA could be of some help in co-spearheading the activity. Improving an industries image is a good thing, we’ve seen it it the Pawn Industry. In this environment of increased regulation for lenders, it would be good for the industry to lead the charge of self improvement vs over regulation by the government. After all as Norm points out, there are the realities of the business to deal with as well.