Mobile solution will offer AutoNation aftermarket services at customers’ homes, workplaces and on-site for fleet vehicles
Fort Lauderdale, Fla.—AutoNation, Inc. has announced it has entered into an agreement to acquire RepairSmith, a full-service mobile solution for automotive repair and maintenance, headquartered in Los Angeles with a significant operational footprint in the southern and western United States.
AutoNation has over 12 million customers and by providing an expansion of its group’s capabilities it will provide an expanded range of products and services to deepen its share of customers’ household-related mobility spend, said Mike Manley, AutoNation’s CEO.
“Earlier this year, we added captive financing capabilities and initiated the development of mobility solutions to expand our customer offerings. RepairSmith expands AutoNation’s ability to penetrate the extensive after-sales service market and conveniently respond to our customers’ needs.”
Although roughly 80% of vehicles sold by AutoNation receive annual service at franchised dealerships during the first three years of ownership, the percentage falls off dramatically in subsequent years. RepairSmith will offer customers the convenience of services and repairs at their home, workplace, or on-site for fleet vehicles. AutoNation will also use RepairSmith as a resource for reconditioning and internal services to increase its speed to frontline readiness and expedite vehicle delivery.
The transaction, pursuant to which AutoNation will acquire RepairSmith for $190 million, is expected to close in the first quarter of 2023, subject to customary closing conditions and regulatory approvals.
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