Utah car dealership giant Ken Garff Automotive Group is buying out New York-based Leucadia National Corp. from its Garcadia dealership partnership. Garff owns and operates 28 new-car dealerships in Utah.
Ken Garff and Leucadia partnered in 2006 to form Garcadia, which has since acquired and operates 28 dealerships in Texas, Michigan, Iowa and California. In addition to being part-owner of Garcadia, Ken Garff has managed the Garcadia business in conjunction with its Utah-based dealerships, which are 100 percent owned by the Ken Garff family.
“We’ve had a strong relationship with Leucadia for years and are excited about the opportunity this allows both companies,” said Brett Hopkins, CEO of Ken Garff Automotive. “The move allows Ken Garff to continue to focus on our core automotive business and allows Leucadia to move forward and focus more on their core business of financial services and global investment banking.”
Nothing in the Ken Garff strategy, staffing, operations or culture will change as a result of this purchase, the company said in a statement.
“As an 86-year-old family company, we see this as a great sign of strength at our foundation,” said John Garff, CEO of Ken Garff Enterprises. “We are proud of the company we’ve become and the opportunity this provides for the future.”
Terms of the deal were ratified by Leucadia’s board and Ken Garff’s board early this month and the transaction is expected to close later this year.
Ken Garff founded his automotive business in downtown Salt Lake in 1932 and has over 50 stores throughout Utah, Texas, Iowa, Michigan, Nevada and California.