TrueCar jumps about 70% on founder-led go-private deal

AutoNation

15/10/2025 18:18

** TrueCar TRUE.O shares jump 69% to as high as $2.50 on Weds after online automotive marketplace announced $227 mln all-cash go-private transaction

** Santa Monica, California-based firm early Weds said it will be acquired by Fair Holdings, entity led by TrueCar founder Scott Painter, in deal expected to close in Q4 or early next year

** Purchase price of $2.55/sh represents 72% premium over the stock's last close

** Painter, who started TrueCar in 2005 and took it public in 2014, stepped down as CEO in 2015 citing a "strained" relationship with dealers among reasons for his departure at the time

** Upon completion of the transaction, Painter to return as CEO

** TrueCar has about 88.44 mln shares outstanding, per LSEG: Its top holder is Australian investment management firm Caledonia with ~17.76 mln shares, followed by USAA Investment Management with about 8 mln and BlackRock with about 6.1 mln

** AutoNation AN.N is 4th biggest owner with about 5.37 mln shares since the auto retailer bought the 6.1% stake in late 2022

** TRUE shares last up 60% at $2.37 on the session. Stock had shed 60% YTD through Tues

** TrueCar's May 2014 IPO priced at $9. Stock hit record intraday peak of $25 about four months later

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com ; 1-646-279-6380))