Transaction marks the 166th transaction led by Kerrigan Advisors since 2015, and their 6th multi-dealership sale in 2022
INCLINE VILLAGE, N.V.--(BUSINESS WIRE)--Kerrigan Advisors, the premier sell-side advisor and thought partner to auto dealers nationwide, represented Baxter Automotive Group in its sale of four Chrysler Dodge Jeep Ram dealerships (CDJR): Baxter of Omaha, Baxter of Papillion, Baxter of Bellevue, Baxter of Lincoln. The dealerships were sold to a partnership of Edwards Auto Group, Sid Dillon Auto Group and H &H Automotive.
"Our firm was honored to represent Baxter Auto Group in this transaction" said Ryan Kerrigan, Managing Director of Kerrigan Advisors. "We have had the opportunity to work with the Baxter team over the last several years, helping them determine how to best grow and broaden their business. This transaction will allow them to diversify geographically and to focus on core brands."
"Kerrigan Advisors has been with us every step of the way on this transaction" said Mickey Anderson, President of Baxter Automotive Group. "Their partnership not only gave our team confidence that this transaction was aligned with our objectives and values, but also to move forward with key strategic decisions."
Founded over 60 years ago, Baxter Automotive Group is the 40th largest US dealership group with more than 20 locations across Nebraska, Kansas and Colorado. Baxter's dedication to the communities they serve is legendary and a core principle of their founder, Tal Anderson - one that continues to this day across hundreds of partnerships and charitable causes, including Boys & Girls Club of the Midlands and the University of Nebraska.
"There remains very healthy buyer demand for high volume domestic dealerships in domestic dominant markets like Nebraska" said Erin Kerrigan, Founder and Managing Director of Kerrigan Advisors. "The CDJR brand captures impressive market share in the Lincoln and Omaha markets. Buyers are quick to step up for franchises that fit a market well, as Baxter's franchises did here."T
he transaction features four high volume dealerships that represent over 55% of CDJR sales in the Omaha market, driven by the success of premium brands Jeep and Ram. "These are successful dealerships representing strong brands in the growing Omaha and Lincoln market. This significant transaction, the highest value in the Omaha market to our knowledge, is evidence that valuations remain high for successful dealerships that are well suited to a market, a trend discussed in our firm's quarterly Blue Sky Report" said Ryan Kerrigan.
The transactions are the 163rd, 164th, 165th, and 166th dealerships sold by Kerrigan Advisors since 2015, and their 20th dealership sold this year. To date, Kerrigan Advisors has led six multi-dealership transactions in 2022.
"When we originally reached out to Kerrigan Advisors, we did so because we knew that they brought unique strategic insight to growing groups such as ours. Our conversations ultimately led to the decision to sell the Stellantis platform, and their expert advice has been critical during the sale process" continued Anderson. "They represented our best interests, provided invaluable strategic market insight, and handled the transaction superbly. We cannot recommend them enough to other dealers considering a sale or divestiture."
Don Erftmier, Jr. of Erftmier Law, LLC served as legal counsel to the seller.
To contact Kerrigan Advisors, the most active sell-side advisor on larger transactions in the auto retail industry, click here.
Kerrigan Advisors is the leading sell-side advisor and thought partner to auto dealers nationwide. Since its founding in 2014, the firm has led the industry with the sale of over 280 dealerships representing $9 billion in client proceeds, including the third largest transaction in auto retail history – the sale of Jim Koons Automotive Companies to Asbury Automotive Group. The firm advises the industry’s leading dealership groups, enhancing value through the lifecycle of growing, operating and, when the time is right, selling their businesses. Led by a team of veteran industry experts with backgrounds in investment banking, private equity, accounting, finance and real estate, Kerrigan Advisors does not take listings, rather they develop a customized sales approach for each client to achieve their personal and financial goals. In addition to the firm’s sell-side advisory services, Kerrigan Advisors also provides a suite of consulting and investor services including growth strategy, market valuation assessments, capital allocation, transactional due diligence, open point proposals, operational improvement and real estate due diligence.
Kerrigan Advisors monitors conditions in the buy/sell market and publishes an in-depth analysis each quarter in The Blue Sky Report®, which includes Kerrigan Advisors’ signature blue sky charts, multiples, and analysis for each franchise in the luxury and non-luxury segments. To download a preview of the report, click here. The firm also releases monthly The Kerrigan Index™ composed of the seven publicly traded auto retail companies with operations focused on the US market. The Kerrigan Auto Retail Index is designed to track dealership valuation trends, while also providing key insights into factors influencing auto retail. To access The Kerrigan Index™, click here. To read the 2023 Kerrigan Dealer Survey, click here. To read the 2024 Kerrigan OEM Survey, click here. Kerrigan Advisors also is the co-author of NADA’s Guide to Buying and Selling a Dealership.
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