Lithia Motors Inc. has entered Mississippi, buying a Toyota dealership in the capital city of Jackson, whereas the auto retailer additionally bought an Audi retailer in California.

Lithia on Tuesday mentioned the acquisition of Herrin-Gear Toyota would add $95 million in annual income. The corporate mentioned it paid for the dealership utilizing funds from its steadiness sheet capability. The transaction closed on Monday.
The shop, which was owned by Jack Herrin, has been renamed Toyota of Jackson.

“Our rising presence within the Southeast area strategically enhances our nationwide community that’s foundational to Lithia and Driveway conveniently serving clients all through your complete automobile possession life cycle,” Lithia CEO Bryan DeBoer mentioned in a press release.

Driveway is Lithia’s on-line automobile gross sales platform.

Final fall, Open Road Capital and Bain Capital Credit bought a majority stake in a four-rooftop auto mall owned by Herrin-Gear Automotive Group in Jackson. Herrin retained possession of the Toyota retailer.

Lithia additionally on Monday bought its Audi Valencia dealership in California to Issam Ghreiwati. The retailer final fall purchased the store as part of a nine-store acquisition from Howard Keyes and Howard Tenenbaum of Keyes Automotive Group.

Ghreiwati additionally has California shops together with Surf Metropolis Nissan in Huntington Seashore and Corona Nissan, which it purchased in January from Larry H. Miller Dealerships. Kerrigan Advisors, a sell-side agency in Irvine, Calif., represented Lithia in the Audi store sale.

Lithia mentioned it has now acquired dealerships anticipated to generate $7.6 billion in annual income because it launched its five-year growth plan last July. The corporate desires to develop to $50 billion in annual income and $50 earnings per share.

Lithia of Medford, Ore., ranks No. 3 on Automotive Information‘ listing of the highest 150 dealership teams primarily based within the U.S., retailing 171,168 new automobiles in 2020. However Lithia’s April 2021 acquisition of Michigan’s Suburban Collection makes the retailer the second-largest group going ahead.