Fox Automotive Group and L.P. Evans Motors Add $400 Million of Revenue
FORT LAUDERDALE, Fla., Aug. 19 /PRNewswire/ -- Republic Industries, Inc.
(NYSE: RII) announced today that it has signed definitive agreements to
acquire the Fox Automotive Group of Baltimore, Maryland, and L.P. Evans
Motors, a Mercedes-Benz dealership in North Miami, Florida. The transactions
are expected to contribute approximately $400 million of annualized revenue to
Republic's operations. The purchase prices, which were not disclosed, will be
paid in cash. Each transaction is subject to customary closing conditions,
including manufacturer and government approval.
The Fox Automotive Group includes Fox Chevrolet, Inc. of Baltimore, the
largest volume Chevrolet dealership in the Baltimore metropolitan area; Fox
Chevrolet of Laurel; Fox Buick/Pontiac-GMC/Isuzu, also of Laurel; Fox
Chevrolet of Timonium; Fox Hyundai/Lincoln-Mercury/Kia of Baltimore, and Fox
Mitsubishi, also of Baltimore. The Fox Automotive Group was ranked as the 47th
largest dealership group in America in the 1997 Automotive News 100. As part
of the transaction, William Hurwitz, 45, will remain in his role as President
of the dealerships. The transaction is Republic's first in the
Baltimore/Washington, D.C. area, giving Republic a very strong foundation for
continued growth in the market. Republic plans to open two AutoNation USA used
car megastores in Baltimore and four in the Washington, D.C. area.
L.P. Evans is one of the largest Mercedes-Benz dealerships in the United
States. As part of the transaction, James D. Evans, Jr., the dealer operator,
will remain in his role with the dealership. This transaction complements
Republic's existing operations in the South Florida market, which includes
Star Motors, also a Mercedes dealership, as well as Abraham Chevrolet, the De
La Cruz Group, Kendall Toyota, Maroone Automotive, Mullinax Automotive, Steve
Moore Chevrolet, Wallace Automotive, and three AutoNation USA megastores.
Commenting on the acquisitions, Republic President and Co-Chief Executive
Officer Steven R. Berrard, said, "The Fox Automotive Group and L.P. Evans are
two premier automotive retailers in their respective markets and will make
outstanding partners in Republic's growing family of leading dealerships. We
are especially pleased that we can begin our entry into the
Baltimore/Washington market with such a well-known and respected dealership as
the Fox Automotive Group. Similarly, L.P. Evans Motors is well-known in South
Florida for its outstanding commitment to customer service."
Republic Industries, Inc. operates subsidiaries in the automotive
retailing, automotive rental and solid waste industries. The Company owns the
nation's largest group of franchised automotive dealerships and operates the
AutoNation USA used vehicle megastore chain. Republic also owns and operates
National Car Rental Systems, Inc., and Alamo Rent-A-Car, Inc.
SOURCE Republic Industries, Inc.