New England dealer David Rosenberg intends to use some proceeds from a $30 million settlement with GPB Capital Holdings — with which he had owned dozens of Prime Automotive Group dealerships — to acquire more stores for a new dealership group he's leading.
GPB, Prime's majority owner until last week, agreed to pay Rosenberg, Prime's former CEO, $30 million to settle pending arbitration and a lawsuit Rosenberg filed against the alternative asset management firm in 2019, according to a GPB-related regulatory filing. The November settlement came just before most Prime dealerships were sold to Group 1 Automotive Inc.
"I've got a lot of people that have contributed to the success of the companies that I have," Rosenberg told Automotive News. "There's a lot of them ... that deserve to be owners in their own right. I want to continue to follow that strategy and give people an opportunity to be car dealers."