Car-Mart to acquire Texas-based Taylor Auto Credit

based on rogers Car-Mart Inc. of the United States Announced Monday (December 5) the acquisition of Credit-Line Inc.’s dealership assets. and Loanco Inc., both Texas companies doing business as Taylor Auto Credit. Terms of the deal were not disclosed.

The deal is expected to close by Dec. 1, according to a press release. 31. Existing financing receivables will be excluded from the transaction and will be collected by the seller. Taylor Auto Credit Owned by Keith and Marcia Hagler, in operation since 1990.

As a result of the transaction, Car-Mart will enter a new market in Tyler, Texas. Tyler is a city of more than 16,000 people northeast of Austin.

Chief Executive Jeff Williams said: “As previously communicated, we expect the acquisition to continue to deliver strong returns for our shareholders, provide an exit strategy for the owner-operator, and provide future success for their employees. growth opportunity.” “In our market, the best competitors are often part of the owner-operated dealership segment – ​​those run by individuals who choose not to over-leverage and focus on providing customers with quality vehicles at reasonable terms , and provide friendly service and a disciplined collection. We believe we have developed a successful acquisition template that works for both parties.”

In October, Car-Mart announced the creation of a new position to lead the company’s acquisitions, and the appointment of former dealership owner Steve Taylor as director of acquisitions. Taylor joined Car-Mart when Car-Mart acquired its dealerships in March 2020. The deal with Taylor Motors, announced in December 2019, includes the first dealer group acquired by Car-Mart. if or october. On the 31st, Car-Mart has 154 dealerships in 12 states, two more than last year.

In Car-Mart’s second-quarter earnings report on Nov. 8. On June 16, Williams pointed to several ongoing initiatives, including discussions with other companies to acquire their businesses.

“We are excited to add the Tyler, Texas area to our footprint and expand our customer base in this booming market,” Williams said. “Samsung is currently building a $17 billion The semiconductor factory in , which is expected to bring 1,800 jobs to the region. Taylor Auto Credit has a rich history of customer service and a talented team of employees, and we welcome them to the Car-Mart family. We are excited about the opportunity to grow in this market Our business.”

Williams added that Taylor Auto Credit and Haglers’ values ​​”aligned perfectly with ours” and looked forward to getting to know their customers.

“Taylor Auto Credit has called Taylor, Texas home for over 30 years,” said Keith Hagler. “Having said that, we are pleased to announce that Car-Mart of America has acquired Taylor Auto Credit. This acquisition is exciting news for Taylor, Texas and all surrounding areas. Taylor Auto Credit’s goal has always been to Keeping our customers on the road while providing the best possible customer experience from day one. Car-Mart of America will continue to do so. My wife Marcia and I are delighted that we have the opportunity to join America’s largest in our industry One of the largest publicly traded auto retailers. After 30 years, it is sad to see the end of Taylor Auto Credit, but giving our team a future is a top priority. Car-Mart of America is exceptional and will serve all employees and future Customers provide a better future.”

The press release also states, previously announced acquisition or Smart Auto Inc., which is expected to be completed by the end of the year. The acquisition of Knoxville, Tennessee-based Smart Auto is expected to close by the end of December. The deal also includes a location in Johnson City, Tennessee. In February, Car-Mart announced the completion of the acquisition of the Johnson City store.

Shares of Car-Mart (NASDAQ: CRMT ) were trading at $73.40 on Monday, down $1.19 or 1.6%. Over the past 52 weeks, the stock has traded between $52.24 and $127.05.

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