Lithia Motors Inc. has acquired metro-Atlanta dealership Wade Ford, just a little over a week after adding 14 dealerships in Virginia from Priority Auto Group to its stable and continuing an aggressive acquisition strategy that targets reaching $50 billion in revenue by the end of 2025.
Lithia’s purchase of the Smyrna, Ga., dealership northwest of Atlanta is expected to add $285 million in annual revenue and continue its Southeast expansion, the dealership giant said Wednesday.
“Wade Ford has been serving the area since 1933,” Lithia CEO Bryan DeBoer said in a statement. “Their strong reputation with customers and community support allows us to expand our operations in this highly competitive market.”
The deal closed Tuesday, according to Mike Sims, president of Pinnacle Mergers & Acquisitions, a Frisco, Texas, buy-sell firm. Pinnacle Mergers & Acquisitions represented seller Steve Ewing in the sale. Wade Ford is expected to keep its name.
Lithia’s acquisition of the Ford dealership included its commercial vehicle center and large fleet business, Sims said.
Wes Hamilton, executive vice president of the brokerage firm, facilitated the transaction, Sims said.
With the Wade Ford acquisition, Lithia said it has acquired dealerships this year that are expected to add $3.5 billion in annual revenue. And since announcing its 2025 plan in July 2020, Lithia said it has now acquired dealerships expected to add $17.5 billion in annual revenue.
DeBoer told Automotive News this month that dealership acquisitions would play an even bigger role in its 2025 revenue plan. Lithia’s network development, or acquisition, target is now $25 billion in revenue, up from the originally stated target of $20 billion.
DeBoer also told Automotive News this month that it expected to add roughly $4 billion in acquisition revenue this year, which would leave about $500 million to go.
Lithia, of Medford, Ore., ranks No. 1 on Automotive News‘ list of the top 150 dealership groups, retailing 271,596 new vehicles in 2022. Lithia’s sales figures include dealerships outside the U.S.
