Yes, AutoNation successfully acquired CIG Financial.
AutoNation's Strategic Acquisition of CIG Financial
In a significant move to expand its financial capabilities, the Fort Lauderdale, Florida-based AutoNation completed the acquisition of lender CIG Financial. This strategic transaction, valued at $85 million, was finalized in October 2022.
Key Aspects of the Acquisition
- Purpose: The primary goal of this acquisition was to establish a captive finance arm for AutoNation, now known as AutoNation Finance. A captive finance arm enables a company to directly offer financing options to its customers, providing greater control over the sales process and creating new revenue streams.
- Completion Date: The acquisition was officially completed in October 2022.
- Acquisition Cost: The transaction was valued at $85 million.
This integration allows AutoNation to enhance its offerings by providing in-house financing solutions, thereby streamlining the vehicle purchasing process for its customers. AutoNation Finance has since undergone operational adjustments, including notifying affected independent dealerships about changes in its services. For further details on AutoNation's financial strategies and related news, you can refer to reputable industry publications like AutoFinanceNews.net.
