Home / Business and Economy / Penske Buys Top Toyota Dealer for $1.5B
Penske Buys Top Toyota Dealer for $1.5B
13 Dec
Summary
- Penske Automotive Group acquired four dealerships, including top US Toyota dealer.
- The acquisition is expected to add over $1.5 billion in annualized revenue.
- The deal strengthens Penske's presence in California and Texas markets.
Penske Automotive Group announced a major acquisition, purchasing four key dealerships, notably including Longo Toyota, the nation's leading Toyota dealership. This significant transaction also encompasses Longo Lexus, Lexus of Stevens Creek, and Longo Toyota of Prosper. These dealerships were previously majority-owned and operated by Greg Penske, who also holds a vice-chairman position within Penske Automotive Group.
The acquisition is poised to substantially boost Penske Automotive Group's financial performance, with an expected addition of over $1.5 billion in annualized revenue. Collectively, these dealerships sold more than 28,000 new and used vehicles in 2024. The facilities are fully image-compliant, and existing management will be retained, ensuring a smooth integration.
This strategic expansion deepens Penske Automotive Group's ties with Toyota Motor Corp., bringing their total Toyota franchises to 16 and Lexus franchises to seven. The deal also marks a significant entry into the lucrative Los Angeles and Dallas markets, capitalizing on their substantial demographics for both Toyota and Lexus brands.
