Penske Automotive Group said Wednesday that its purchase of CarSense announced in December has officially closed.

CarSense, a standalone used-car retailer whose no-haggle model focuses on late-model units. It has five stores throughout the Pittsburgh and Philadelphia metro areas, including southern New Jersey.

“We are pleased to welcome the CarSense team to Penske Automotive Group, and we look forward to combining our resources as we expand our share of the highly fragmented used vehicle marketplace,” Penske Automotive Group executive vice president Whit Ramonat said in a news release.    

Penske anticipates an estimated $350 million in annual revenue to be generated from the purchase. It estimates accretion at $0.07 to $0.09 on an annualized basis.

Fellow publicly traded dealer groups Sonic Automotive and Asbury Automotive Group each have used-car standalones in EchoPark Automotive and Q auto, respectively, while AutoNation has plans to roll out its own.

Similar purchase in UK

In a related move, Penske announced Friday that it has signed an agreement to buy CarShop, a chain of five standalone used-car retail stores in the U.K.

CarShop has locations in Cardiff, Swindon, Northampton, Norwich and Doncaster. The company, which launched in 1999, also has a 15-acre vehicle preparation center in Leighton Buzzard that can recondition 45,000 cars a year.

Penske Automotive Group chairman Roger Penske said in Friday’s news release: “The acquisition of CarShop furthers our diversification strategy within the transportation services industry, and is complementary to our existing core auto retail business.

“Similar to the U.S. market, used-vehicle sales in the U.K. are nearly three times the size of new-vehicle sales on an annual basis. The CarShop acquisition, combined with the pending acquisition of CarSense in the United States, strengthens our market position in our two largest markets (United States and United Kingdom) while providing scalable future growth opportunities,” Penske added.

The deal must meet certain conditions and is expected to close by end of quarter.