Stellantis completes First Investors acquisition
First Investors Financial Services Group now officially is a captive finance company.
Stellantis announced late on Monday that it completed the acquisition of the company that previously specialized in subprime auto financing. As a result of the transaction first revealed on Sept. 1, First Investors now will be known as Stellantis Financial Services US Corp.
With conditions agreed upon and within the period indicated at signing, Stellantis highlighted in a news release that it now has the foundation to grow a full-service captive finance arm.
Stellantis Financial Services will provide U.S. customers, dealers and partners with a complete range of financing options in the near-to-medium term, including retail installment contracts, vehicle leases and floorplan financing.
“With the acquisition of First Investors, we will quickly develop a captive financial arm in the United States, offering a complete range of products, for the benefit of our customers, our dealers, our brands and our shareholders,” said Philippe De Rovira, Stellantis chief affiliates officer for sales finance, used cars, parts and service and retail network.
Stellantis chief financial officer Richard Palmer added, “Acquiring First Investors supports the growth plan for Stellantis’ business in the United States. This is a key strategic move to further extend our financial performance and create long-term value for Stellantis shareholders.”
According to the news release, the First Investors executive management team — with an average tenure of 18 years in the financial industry — is expected to remain in place.
“Enhancing customer experience is at the core of our mission,” said Tommy Moore Jr., who now will be chief executive officer of Stellantis Financial Services.
“Moving forward, we will leverage the strong commercial business in the United States to provide financing across the whole range of customers while looking to new emerging growth strategies, including mobility services, to expand our portfolio beyond the traditional vehicle sale,” continued Moore, who was honored in 2017 as the Subprime Auto Finance Executive of the Year.