Sonic Acquires RFJ Auto Partners

By Staff Writer September 24, 2021

Sonic Automotive Inc., a Fortune 500 company and one of the nation’s largest automotive retailers, announced it has entered into a definitive agreement to acquire RFJ Auto Partners. This acquisition represents one of the largest transactions in automotive retail history and is expected to propel Sonic Automotive into the top-five largest dealer groups in the U.S. as measured by total revenues.

With 33 locations in seven states and a portfolio of 16 automotive brands, RFJ Auto generated $2.8 billion in annual revenues in 2020, making it a top-15 U.S. dealer group by total revenues. The transaction will add six incremental states to Sonic’s geographic coverage and five additional brands to its portfolio, including the highest volume Chrysler Jeep Dodge RAM dealer in the world, Dave Smith Motors of Kellogg, Idaho. In addition to further diversifying Sonic’s franchised dealership business, the transaction is expected to add $3.2 billion in annualized revenues, representing an incremental 30% increase in franchised dealership revenues above the company’s previously stated target of $25 billion in total revenues by 2025.

“This transaction is well-aligned with our strategy to grow our franchised dealership business by acquiring franchises that increase our geographic reach and expand our brand portfolio,” said Jeff Dyke, president of Sonic Automotive and EchoPark Automotive.

Rate this item
(0 votes)
Last modified on Friday, 24 September 2021 00:55