Asbury Automotive Group, Inc., one of the nation’s largest automotive retail and service companies, signed a definitive agreement to acquire Jim Koons Automotive Companies, the ninth largest privately-owned dealership group in the U.S in a $1.2 billion deal.
Koons operates a Lexus dealership in Wilmington.
Koons recorded $3 billion in revenue in 2022 and includes 20 dealerships, 29 franchises, six collision centers, and one of the highest volume Toyota and Stellantis dealerships in the US, a release stated.
Ashbury, based in Georgia, is a publicly traded company. The deal reflects the continued consolidation of the industry with massive dealership groups handling a variety of domestic and foreign nameplates.
Asbury currently operates 138 dealerships, representing 31 domestic and foreign brands and 32 collision repair centers. Asbury plans to fund the purchase price with its existing liquidity, credit facility and cash on hand.
Fifty years ago, Jim Koons took over the operation of his father’s dealership, Koons Ford in Falls Church, which had been founded in 1964, with the dealership group becoming a major player in the Baltimore-Washington region.
“My parents, John and Eleanor Koons, instilled these values from our company’s beginning. I am grateful to every one of our customers and employees for their contribution to our success,” said Jim Koons, chairman of Jim Koons Automotive Companies. “At Koons, it has always been all about people, and we deeply appreciate Asbury’s commitment to continuing this tradition. Our work with David Hult, and the Asbury team, gives us confidence that not only are our customers in excellent hands, but so are our employees, with opportunities for future growth being a part of Asbury.”
Jim Koons Automotive Companies was one of only 13 private groups with more than $3 billion in revenue in 2022.