FORT LAUDERDALE, Fla. – Haig Partners LLC, served as the exclusive sell-side advisor to Group 1 Automotive, Inc. (NYSE: GP1) on the sale of its Sterling McCall Hyundai South Loop dealership located in Houston, TX to Steele Auto Group (“Steele”).
Group 1 is a publicly traded auto retailer that ranks fourth on Automotive News Top 150 Dealership Groups. In 2021, it generated $13.5B in revenue and retailed 307,000 new and used vehicles.Steele is Atlantic Canada’s largest auto dealership group with 55 new auto dealerships, seven used auto dealerships, three powersports dealerships and eight collision centers. It expanded into the US recently.
Sterling McCall Hyundai is its sixth dealership located in the US, all in Texas. The dealership will be rebranded Steele South Loop Hyundai.
With the sale of Sterling McCall Hyundai South Loop, the team at Haig Partners has been involved in the purchase or sale of 79 dealerships in Texas, also more than any other advisory firm.
“It was an honor to represent Group 1 Automotive in the sale of Sterling McCall Hyundai South Loop in Houston. Sometimes the best buyer for a dealership is located right next door. But in this case, our process surfaced the best buyer in Canada, 2,500 miles away,” said Alan Haig, President of Haig Partners. “This transaction is further proof that many buyers are interested in expanding into Texas. With high population growth, low taxes and a business-friendly climate, Texas, Florida, and other similar markets bring elevated dealership values. The transaction also demonstrates that demand for dealerships remains high even though the macroeconomic outlook is troubled at the moment. Dealerships are still producing record levels of profits, so buyers want more of them.”