Crown seals Smart Choice acquisition
TITUSVILLE, Fla. - Crown Group Inc. of Dallas acquired majority ownership of Smart Choice Automotive Group Inc. by merging Smart Choice with Crown's subsidiary, Paaco Automotive Group. The deal also includes a $3 million cash investment in Smart Choice.
Crown and Smart Choice signed a letter of intent in August.
Crown received stock representing 70 percent of the ownership and voting rights to Smart Choice.
Paaco operates 11 used-vehicle dealerships in Texas; Crown owns 85 percent of Paaco. Smart Choice operated 11 used-vehicle dealerships in Florida.
The two companies have combined finance receivables totaling more than $160 million and employ more than 500 people.
Smart Choice was plagued by many problems, including a lawsuit alleging that it misled shareholders. Last February the company reported net income of $4.6 million for 1998 and then reversed itself two months later, saying it had lost $6.9 million. Its CFO resigned and the company's stock plummeted.
HEADQUARTERS UNDER WAY
AMHERST, N.Y. - Remarketing Services of America Inc. broke ground on its new global headquarters Dec. 13. The company is scheduled to move into the building next fall. Remarketing Services of America is a member of the DaimlerChrysler Services Group. It provides vehicle remarketing and lease maturity management programs for auto companies, banks and other financial institutions.
CARFAX DATABASE GROWS
FAIRFAX, Va. - Carfax.com, a consumer Internet site, has added odometer readings from Georgia to its national database of more than 980 million vehicle records. In addition to odometer history readings, Carfax provides a variety of vehicle information to consumers, such as flood damage and salvage history.