Lithia Motors Inc. said it acquired Downtown Los Angeles Auto Group in one of the biggest buy-sell transactions of the year.
The five-store addition will generate about $1 billion in annual revenue, the auto retailer said in a statement.
"I believe it's the biggest deal this year in terms of revenue added to a group," said buy-sell adviser Erin Kerrigan, managing director of Kerrigan Advisors in Irvine, Calif. Kerrigan advised Downtown Los Angeles on the deal.
The deal, which closed on Monday, is the third large acquisition for Lithia within the last 12 months.
"We are pleased to continue our robust acquisition cadence of purchasing strong assets with considerable upside," CEO Bryan DeBoer said in the statement. "These stores are located in the fast-growing downtown area, within close proximity to the Staples Center and L.A. Live, and are among the largest volume stores of their brands in the nation."