Asbury Automotive to buy Herb Chambers' dealerships in $1.34 billion deal (updated)

Asbury Automotive

18/02/2025 13:37

(Adds details from the release throughout)
       Feb 18 (Reuters) - Auto retailer Asbury Automotive Group
 ABG.N  said on Tuesday it would acquire automotive dealerships
owned by Herb Chambers Companies in a deal valued at $1.34
billion.
    Asbury plans to fund the acquisition using a combination of
credit facility capacity, mortgage proceeds and cash, the
company added.
    The deal, which includes Herb Chambers' 33 dealerships, 52
franchises and three collision centers, hopes to capitalize on
stronger demand from consumers opting for modern feature-packed
vehicles and after-sales services.
    Duluth, Georgia-based Asbury operates more than 155
dealerships in more than a dozen states, dealing with new and
used vehicles among other services. 
    Herb employs more than 2,200 people in locations throughout
Massachusetts and Rhode Island, and sells new and used vehicles
ranging from affordable mopeds all the way up to luxury cars. 
    Herb said it will assume the post of Special Advisor to
Asbury and will retain ownership of its Mercedes-Benz of Boston
dealership in Somerville, Massachusetts.
    The transaction is expected to close late in the second
quarter of 2025, pending customary closing conditions.

 (Reporting by Anshuman Tripathy in Bengaluru; Editing by Savio
D'Souza and Vijay Kishore)
 ((Anshuman.Tripathy@thomsonreuters.com;))