Republic Industries Inc. is negotiating with Ford Motor Co. to sell Magic Ford and Magic Lincoln-Mercury in Valencia, Calif., to an entity controlled by Ford.
Herbert Boeckmann II, owner of Galpin Motors Inc. in North Hills, Calif., which includes Galpin Ford and Galpin Lincoln-Mercury, confirmed the talks and said he probably would manage the big dealership.
Last Friday, May 8, Boeckmann said through his secretary that no deals have been finalized.
Steven Berrard, co-CEO of Republic, would not confirm or deny Boeckmann's statement about talks between Ford and Republic.
'We haven't sold anything to anybody yet,' he said.
John Ochs, Ford Motor Co. spokesman, said Ford does not comment on transactions until they are finalized.
Reports of negotiations between Republic, Ford and Boeck-ann have circulated since last summer. Under one scenario, Boeckmann would operate the store as part of a Ford Retail Network, Ford's effort to consolidate dealerships in selected markets.
Boeckmann's Galpin Motors ranks 23rd on Automotive News' list of the top 100 dealer groups, with sales of $517.9 million in 1997. In January 1997, Republic won a bidding war for Magic, purchasing the dealership out of bankruptcy for $43.4 million.
The losing bidder was Grape-vine Inc., a company bank-rolled by Ford.