Sale of Mercedes-Benz, Sprinter, Porsche, Jaguar, Land Rover, Volvo and Acura dealerships highlights strong buyer demand in the mountain states; marks 111th Kerrigan-led dealership sale since 2015
IRVINE, Calif.--(BUSINESS WIRE)--Kerrigan Advisors, a leading sell-side advisory firm to auto dealers in the U.S., represented and advised Lyle Pearson Auto Group of Boise, Idaho on its recent sale of five luxury dealerships to Spokane, Washington-based Gee Automotive. Franchises include Mercedes-Benz, Sprinter, Porsche, Jaguar, Land Rover, Volvo and Acura. The transaction is the 6th multi-dealership Kerrigan-led transaction in 2020 and 111th dealership sale since 2015. The firm is the most active sell-side advisor to the largest dealership groups in the U.S.
“We were proud to represent Lyle Pearson Auto Group, a constellation of retail brands that have defined luxury in Boise for decades,” said Ryan Kerrigan, Managing Director of Kerrigan Advisors. “It was no surprise that demand for these well-established dealerships, with long and successful track records in their communities, was high. Booming population growth, and a market area that isn’t over-dealered, accelerated this interest. Our role was to help navigate that interest, and pinpoint a buyer whose values and vision for the dealerships, and their future, meshed with those of our client.”
“Since day one, Lyle Pearson Auto Group has been about how vehicle buyers and owners are treated when they visit a dealership, and prioritizing a modern, knowledgeable, sales and service experience,” said Jim Cross, President and Owner of the Lyle Pearson Auto Group. “The legacy begun by my father-in-law has continued to thrive because we’ve ensured that our dealerships are premium in every possible way. Those values are reflected in our employee’s commitment to our success and to offering a premier luxury experience to Boise car buyers,”
Lyle Pearson first began selling cars in Treasure Valley over 50 years ago, when he was awarded Mercedes-Benz and Volvo franchises. In 1988, Pearson added a Land Rover dealership, with Acura and Porsche joining in the ensuing years. Pearson, who was named 2011 Time Dealer of the Year for Idaho, passed in 2012. His successor and son-in-law, Jim Cross, continued to build the auto group by adding Sprinter, completing several grand re-openings and the construction of new Jaguar Land Rover and Volvo stores. In addition, in 2018 Mercedes-Benz of Boise was awarded the Best of the Best Silver Laurel distinction.
“We are so pleased to pass the business on to another family-owned, service-oriented, growing dealership group,” continued Cross. “We selected Kerrigan Advisors to represent us in this sale because they are the best in the business. Ryan and his team ran a seamless process from start to finish, making sure we were well-prepared for the sale process. They were able to bring the transaction together perfectly.”
According to Erin Kerrigan, Founder and Managing Director of Kerrigan Advisors, the Lyle Pearson Auto Group transaction symbolizes the strength of the automotive space, and specifically, the buy/sell market. “What we’re seeing, in terms of the broader M&A dealership market, is the strength of the post-COVID comeback,” said Erin Kerrigan. “This is driven by a bounce back in dealership earnings, low interest rates and increased buyer and investor demand. This has resulted in very strong buyer demand for top growth markets such as Boise, an example of a single point luxury market that is commanding higher value.”
Stephen Dietrich of Holland & Knight served as legal counsel to the seller. Toby Hazen of Eide Bailly LLP served as the seller’s accountant.
Kerrigan Advisors is the most active sell-side advisor on larger transactions in the auto retail industry with the most sale proceeds per transaction of any firm. In addition to its sell-side advisory work, the firm offers strategic consulting services to dealers and their families, including growth planning, capital raising and valuation analysis, creating value at every stage of the auto retail lifecycle.
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.
About Kerrigan Advisors
Kerrigan Advisors is a leading sell-side advisor and thought partner to auto dealers in the US. 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. Kerrigan Advisors has represented on some of auto retail’s largest transactions, including seven of the Top 150 Dealership Groups in the US, more than any other firm in the industry. Led by a team of veteran industry experts with backgrounds in investment banking, private equity, accounting, finance and real estate, the firm does not take listings, rather they develop a customized approach for each client to achieve their personal and financial goals. In addition to Kerrigan Advisors’ sell-side advisory and capital raising services, the firm also provides a suite of consulting services including growth strategy, market valuation assessments, capital allocation, transactional due diligence, open point proposals, operational improvement and real estate due diligence.
Kerrigan Advisors publishes The Blue Sky Report®, which is the auto industry's most comprehensive and authoritative quarterly report of dealership buy/sell activity and franchise values, received by over 9,000 industry participants in 35 countries. To register to receive The Blue Sky Report®, click here. Kerrigan Advisors also publishes The Kerrigan Index™, the only monthly report tracking the seven publicly traded auto retail companies. To access The Kerrigan Index™, click here.
Kerrigan Advisors’ Founder and Managing Director, Erin Kerrigan, is a recognized expert on dealership valuation, real estate, and buy/sells, and is a frequent speaker at leading auto retail events and conferences, including NADA, JD Power Automotive Roundtable, Automotive News’ Canadian World Congress, AICPA, and NADC. She has also been quoted numerous times by The Wall Street Journal, CNBC, Bloomberg and The Economist and has been a keynote speaker for events hosted by American Honda Motor Company, Audi of America, US Trust, Bank of America, Ohio Automobile Dealer Association, and SunTrust Bank. Kerrigan Advisors’ Managing Director Ryan Kerrigan is also a sought-after industry expert. He is featured in a monthly column for Dealer Magazine and has written Op-Eds for Automotive News.
Kerrigan Advisors is honored to work with auto retailers throughout the US to enhance the value of their enterprise. Learn more about our services below:
Customized and confidential sell-side services for higher value dealerships and dealership groups nationwide, with a proven record of achieving the highest sale price per transaction of any firm in the industry.
Capital raising and partnership structuring for growing dealership groups, supported by the largest investor database in the industry.
If you are a buyer in today’s market, Kerrigan Advisors welcomes the opportunity to learn about your acquisition criteria and include you in Kerrigan Advisors’ proprietary Buyer Database.
We welcome the chance to learn more about your acquisition criteria so that we can contact you in the event a client matches your investment profile.
Contact us to learn more about Kerrigan Advisors’ client services, or to have a conversation about the buy/sell market. All of our conversations are 100% confidential.