Group 1 Automotive revealed the acquisition of three dealerships in Texas on May 8, 2023, as it continues to ramp up its growth efforts.
In a press release, the auto group indicated the high-volume storefronts would generate an additional $760 million in annual revenue and would push the organization’s acquired earnings to $910 million. The three locations, all Buick-GMC stores operated by Beck & Masten, bring Group 1’s total number of facilities in Texas to 57. This is the second time the retailer has reported a merger in 2023 and follows the March 28 purchase of Estero Bay Chevrolet in Florida.
Two of the storefronts are located in Houston, where the auto group currently runs 15 locations, while the third operates out of the Corpus Christi metro area. Kerrigan Advisors represented the three dealerships throughout the acquisition and reported that the owners, John Beck and James Masten, were planning to retire after 52 years of partnership. Group 1 president and CEO Daryl Kenningham called Houston “the second fastest growing major metropolitan area in the U.S.” and noted that the GMC brand’s truck and SUV offerings were a perfect fit for Texas consumers.
Group 1 continues to be one of the largest retailers of new and used vehicles worldwide, operating a total of 206 storefronts and 44 collision centers throughout the U.S. and U.K. The organization reported record-breaking revenue in Q1, with sales of 85,086 units. Other leading dealership groups, such as Lithia and AutoNation, have also seen success since the year’s start. Competition for high-traffic stores among the nation’s prominent retailers has remained fierce in the post-pandemic market, with the industry’s frontrunners jostling for first place in terms of size.
