LMP AUTOMOTIVE HOLDINGS, INC. ANNOUNCES THE ACQUISITION OF 2 DEALERSHIPS INCLUDING 2 NEW VEHICLE FRANCHISES WITH 58 ACRES OF RECONDITIONING, SERVICE, SALES AND VEHICLE STORAGE CAPACITY IN THE SOUTHEAST LMP AUTOMOTIVE HOLDINGS, INC. SCHEDUL
Acquisitions expected to add approximately $210 million in annual revenue, $7.1 million in income and $0.64 per share in 2021 inclusive of synergies; Brings total contracted dealership count this quarter to 12, all in the Southeast region that are expected to add a combined $645.0 million revenues and $16.4 million in net income or $1.49 in earning per share in 2021; Acquisitions significantly expand LMP's e-commerce, sales, subscription and fufillment footprint in two of the fastestest growing regions in the Florida market; Expands LMP's ability for cost-efficient e-commerce fullfillment, reconditioning and service capacity as well as vehicle storage capacity by approximately 3,000 units on 58 acres to further magnify the roll-out of the Company's hybrid e-commerce home delivery, site-to-store, and ship-from-store delivery strategies for LMP customers; Acquisitions are expecte
PLANTATION, FL , Sept. 03, 2020 (GLOBE NEWSWIRE) -- PLANTATION, FL / GLOBE NEWSWIRE /September 3, 2020/ LMP Automotive Holdings, Inc. (NASDAQ:LMPX) (the "Company" or "LMP"), an e-commerce and facilities-based platform for consumers who desire to buy, sell, subscribe for or finance pre-owned and new automobiles, today announced the acquisition of two dealerships Including two new vehicle franchises with 58 Acres of reconditioning, service, sales and vehicle storage capacity in the Southeast.
Management will hold an Analyst and Investor conference call today, at 4:30 p.m. ET to review and discuss the Company's business. Details of the call are included in this press release.
Richard Aldahan, the LMP's Chief Operating Officer stated,
"The operating assets to be acquired include two KIA new vehicle franchises and 58 acres of facilities and property, all of which are located in the attractive Florida market. This brings our total contracted new vehilcle franchise count this quarter to 13; 1 Toyota, 1 Subaru, 1 Hyundai, 3 KIA, 2 Chevrolet, 2 GMC, 1 Cadillac, and 2 Buick dealerships. These provide a cost-effective reconditioning, service, logistics and fulfillment, which, as I mentioned previously, are the important cost saving components in e-commerce, sales and distribution. With this and our previously announced acquisitions, including our current operations, we expect to have over 4,000 vehicles exposed and available on our online platform for our customers in 2021 as we will begin to integrate and add to inventories shortly after close."
Sam Tawfik, the Company's Chairman and Chief Executive Officer stated,
"This is an important addition to our network given the 58 acres of vehicle fullfillment, reconditioning and service capacity it provides. It will cost-effectively expand our free delivery radius and cut out multiple legs of costly transportation, logistics and reconditioning costs in one of the fastestest growing and largest vehicle sales regions in the United States. Our team is excited as ever and looking forward to working with our future teammates to enable our subscription and e-commerce technology, together by integrating and adding additional inventory over these dealer platforms, in order to further expand our online sales and fulfillment presence and add to their historical success."
Mr. Tawfik also added, "As we have mentioned previously, we are seeing a robust acquisition market and have a pipeline of prospective acquisitions for which we are in active negotiations. We intend to continue to build our pipeline of prospective dealership acquisitions and accelerate our acquisition strategy moving forward. LMP plans on adding 30 to 40 dealerships in 2021 that could contribute $5 to $7 per share in additional net income, expand our e-commerce fulfillment presence, provide efficiencies and increase our inventory exposed in our lmpmotors.com online store."
