ROGERS, Ark., May 02, 2024 (GLOBE NEWSWIRE) — America’s Car-Mart, Inc. (NASDAQ:CRMT), today announced that it has entered into a definitive agreement to purchase the dealership assets of Texas Auto Center (“TAC”). The transaction, which excludes legacy finance receivables, is expected to close in the first quarter of Car-Mart’s 2025 fiscal year, which begins May 1, 2024.
Since founding Texas Auto Center in 1995, Bob and Erika Blankenship have grown their operation into an award-winning dealership group with locations in Austin and San Marcos, Texas.
“The acquisition of Texas Auto Center furthers our commitment to acquisitions being a part of our growth strategy. This acquisition will deliver exceptional outcomes for our customers, associates, and shareholders. TAC’s high-performance culture, customer focus, and strong alignment of values makes it a fantastic addition to what is an already great team,” said Douglas Campbell, President and Chief Executive Officer. “Bob and Erika are highly respected industry veterans with decades of experience delivering quality used vehicles and excellent service to their customers. We are excited to welcome them, and the entire Texas Auto Center team, to America’s Car-Mart.”
“We are very excited to enter into this relationship,” said Bob Blankenship. “My wife, Erika, and I have devoted nearly thirty years to building our business and have been honored to forge relationships with our customers. With the help of our dedicated associates, we have grown to two large dealerships, proudly serving the Austin metro area.”
“America’s Car-Mart operates with integrity, respect, and compassion, making it the perfect fit for us,” Mr. Blankenship explained. “Together, we share a mission to earn repeat business by providing quality vehicles, stress-free financing, and excellent customer service. We are committed to the success of this transaction and to satisfying the car-buying and account servicing needs of our customers for generations to come.”
“This agreement reinforces our commitment to acquisitions as a part of our growth strategy that will not only strengthen America’s Car-Mart, but the entire industry. This acquisition expands and strengthens our footprint in the Texas market,” said Vickie Judy, Chief Financial Officer. “We will continue to partner with experienced owner-operators to transition their businesses in a way that creates value for their customers and future growth opportunities for their associates as well as being accretive to our revenue.”
About America’s Car-Mart
America’s Car-Mart operates automotive dealerships in twelve states and is one of the largest publicly held automotive retailers in the United States focused exclusively on the “Integrated Auto Sales and Finance” segment of the used car market. The Company emphasizes superior customer service and the building of strong personal relationships with its customers. The Company operates its dealerships primarily in smaller cities throughout the South-Central United States, selling quality used vehicles and providing financing for substantially all of its customers. For more information about America’s Car-Mart, including investor presentations, please visit our website at www.car-mart.com.
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements address the Company’s future objectives, plans and goals, as well as the Company’s intent, beliefs and current expectations regarding future growth and operating performance, including with respect to the Company’s acquisition of Texas Auto Center and other potential future acquisition opportunities, and can generally be identified by words such as “may,” “will,” “should,” “could, “believe,” “expect,” “anticipate,” “intend,” “plan,” “foresee,” and other similar words or phrases. These forward-looking statements are based on the Company’s current estimates and assumptions and involve various risks and uncertainties. As a result, you are cautioned that these forward-looking statements are not guarantees of future performance and that actual results could differ materially from those projected in these forward-looking statements. Factors that may cause actual results to differ materially from the Company’s projections include, but are not limited to:
- the ability to successfully identify and complete new acquisitions on conditions that are favorable to the Company;
- the possibility that an acquisition does not close when expected or at all because required conditions to closing are not received or satisfied on a timely basis or at all;
- the risk that the benefits from a transaction may not be fully realized or may take longer to realize than expected, including as a result of changes in general economic and market conditions, consumer finance laws and regulations, and the degree of competition in the geographic and business areas in which the Company and the acquired business operate;
- the ability to promptly and effectively integrate the businesses of the Company and the acquired company;
- the reaction to the transaction of the companies’ customers, associates and counterparties; and diversion of management time on acquisition-related issues.
Additionally, risks and uncertainties that may affect future results include those described from time to time in the Company’s SEC filings. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made.
Contacts: Vickie Judy, CFO at (479) 464-9944
[email protected]
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