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•Expands LMP’s e-commerce, subscription sales and fufillment in the Southeast market, one of the nation’s most desirable markets •Strong, stable margins, generates approximately $100 million in annual revenue •Expected to be accretive to 2021 earnings by $.36 per share in 2021 and inclusive of synergies by $.40 per share •Year 1 ROIC expected to be well above cost of capital •The acquisition is expected to close in the first half of Q4 2020 funded through a combination of LMP’s balance sheet and financing
PLANTATION, FL , July 17, 2020 (GLOBE NEWSWIRE) -- 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 a 75% interest in a Southeast Toyota Franchise Dealership.
Brian Finnegan, the Company’s Executive Manager in charge of franchise dealership management stated,
“It’s LMP’s vision to continue the legacy of the dealer and it’s online presence while providing our e-commerce solutions and offerings, financial strength, business acumen and sophistication of LMP to help grow the business.”
Sam Tawfik, the Company's Chairman and Chief Executive Officer stated,
“We at LMP are extremely excited to expand our dealership footprint which is in line with our hybrid e-commerce strategy. We are looking forward to enabling our subscription and e-commerce technology over this dealer platform in order to further expand upon its historical success.”
Mr. Tawfik also added,
“We are also focused on adding additional executive management as our current pipeline of potential franchise dealership group acquisitions is growing.”
About LMP Automotive Holdings, Inc. – “Buy, Subscribe, Sell and Repeat.”
LMP Automotive Holdings, Inc. (NASDAQ: LMPX) describes its business model as “Buy, Subscribe, Sell and Repeat.” This means that we “Buy” pre-owned automobiles primarily through auctions or directly from other automobile dealers, and new automobiles from manufacturers and manufacturer distributors at fleet rates. We “Subscribe” to our customers by allowing them to enter into our subscription plan for automobiles in which customers have use of an automobile. Our subscription plans offer the flexibility to upgrade your vehicle to a more premium model or downgrade for a lesser cost model when you like. We “Sell” our inventory, including automobiles previously included in our subscription programs, to customers as well, and then we “Repeat” the whole process.
For more information visit: https://lmpmotors.com/.
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