Germain Automobile Group, of Columbus, Ohio, entered Arizona with the purchase of Surprise Honda, one of four dealership acquisitions for the group this year.
Germain bought the store in northwest Phoenix on Oct. 18 from Bill Piercey and Tom Chadwell, said Bill Scrivner, who, along with Mike Sims of Pinnacle Mergers & Acquisitions, a Frisco, Texas buyout company, represented the buyer in the transaction. Piercey and Chadwell sold Rock Honda in Fontana, Calif., To Lithia Motors Inc. in August.
Germain renamed the Germain Honda store to Surprise. This acquisition marks the group’s sixth Honda dealership.
“We have been looking for a long time in this market to try to find an entry point,” said Germain, COO, John Malishenko. Automotive news, adding that CEO Steve Germain has a home in the area.
The Arizona acquisition wasn’t the only dealership purchase last month for Germain.
On October 6, she purchased College Hills Honda in Wooster, Ohio, from dealer Bob Bressi. Malishenko said the store, renamed Germain Honda of College Hills, features an attractive online parts business. Gary Russo of Team Russo was the broker in this matter.
In March, Germain purchased a Chevrolet-Buick-GMC-Cadillac dealership and a Chrysler-Dodge-Jeep-Ram-Fiat dealership from Dan Hemm. Both stores are in Sidney, Ohio, northwest of Columbus. Many brands were new to the group.
“With this acquisition, we currently cover around 85 percent of the industry,” said Malishenko. “That was kind of our goal.”
After the March acquisition, Germain returned the Cadillac franchise to Sidney to General Motors, Malishenko said.
Germain now has 20 dealers in Ohio; Naples, Florida; Ann Arbor, Michigan; and Surprise, Arizona.
Malishenko said the group continues to seek regional expansion and growth opportunities, particularly in southwest Florida and central Ohio.
He said the move to Surprise was a strategic game for the group as the area grows. And by gaining a foothold in the region, there could be “opportunities for growth in this market over time,” he said.
Germain ranks n ° 81 on Automotive Newslist of the top 150 US-based dealer groups, retailing 11,365 new vehicles last year.