Lithia & Driveway added one more state to its ever-expanding footprint with the acquisition of Minnesota-based Carousel Motor Group.

The purchase includes Carousel’s nine dealerships in the Minneapolis-St. Paul area, including one just across the state line in Hudson, Wisc. — Hudson Ford, one of the state’s largest operations.

The group of mostly luxury brand stores is projected to generate more than $900 million in annualized revenue, according to Lithia & Driveway.

“Building out our network in the North Central Region – our least-dense region – allows us to foster long-term customer relationships and provide our omnichannel solutions, offering a full ownership lifecycle to this market,” Lithia & Driveway president and CEO Bryan DeBoer said in a news release. “We welcome Carousel’s high-performing team members to the Lithia & Driveway family.”

Lithia & Driveway operates more than 300 dealerships in the U.S., Canada and the U.K. The new acquisitions, which were financed using existing on-balance sheet capacity, bring the company’s total year-to-date expected annualized revenue acquired to more than $5.4 billion.

Group 1 adds SoCal Lexus dealerships

Group 1 Automotive added to its extensive portfolio with the acquisition of Newport Lexus and Tustin Lexus in Orange County, Calif.

The dealerships are expected to generate $350 million in annual revenues, Group 1 said, bringing the company’s 2024 year-to-date total acquired revenues to $850 million. That follows $1.1 billion of acquired revenues in 2023.

Group 1 owns and operates 200 automotive dealerships and 43 collision centers in the U.S. and U.K.

“We are thrilled to expand our Southern California platform with this exceptional luxury brand,” president and CEO Daryl Kenningham said. “Our strong relationship with Lexus and experience in this market area make this a tremendous addition for Group 1.

“The transaction highlights our commitment to strategic portfolio optimization with growth through larger dealership acquisitions while disposing of smaller, less profitable stores. We also intend to opportunistically execute share repurchases when our stock represents an attractive value.”

Group 1 also updated its year-to-date share repurchase activity of 174,964 shares of common stock at an average price of $264.88 for a total of $46.3 million. As of Feb. 26, the company had $97 million available under its current share repurchase authorization.

Smith Automotive dives into marine market

Previously land-based Smith Automotive Group has acquired its first marine dealership.

The group of nine auto dealerships in the Southeast purchased Aloha Marine in Daytona, Fla., from Dave and Kathy Rusler, according to Performance Brokerage Services, which represented the seller.

Aloha Marine has been serving the boating community since 1973. Smith Automotive Group is a family-owned, third-generation dealership group that was founded in 1938. Current president John Smith Jr. is the grandson of the group’s founder.