ADESA, Inc. | Adding More Than Two Dozen Auctions in 2000
Adding More Than Two Dozen Auctions in 2000
In early 2000 ADESA bought an auction in San Diego and a partially completed one near Los Angeles. The firm also was preparing to reopen its Concord, Massachusetts site after exceeding the capacity of its Framingham location.
In June the company bought Canadian Auction Group (CAG), the owner of 13 auctions and dealer financing sites around Canada. CAG had sold 200,000 vehicles and taken in $68 million in the most recent 12-month period. ADESA also acquired the remaining interest in Impact Auto Auctions of Canada that it did not own.
Less than a week later, the company reached an agreement to buy eight auctions from ADT Automotive and a ninth from Manheim Auctions. Their combined sales for the previous year was put at $130 million. The nine sites were located in Phoenix, San Francisco, Atlanta, Kansas City, Seattle, Colorado Springs, Tampa, Orlando, and in Clearwater, Florida.
The $251 million deal had come about after Manheim agreed to buy ADT's chain of auctions, full ownership of which would violate federal antitrust laws. Afterward, ADESA moved its finance offices out of the 28 former ADT sites that Manheim would keep. In August, two additional auctions were purchased in Arkansas. When those deals were completed, ADESA would own 57 auctions in the United States and Canada.
In December 2000 the firm bought International Vehicle Importers, Inc., a Flint, Michigan-based vehicle importer. ADESA's holdings now also included a half-dozen auctions that specialized in heavy equipment and trucks, a vehicle remarketing company called PAR, and AutoVIN, a firm that performed inspections of cars coming off-lease.