DETROIT -- Lithia Motors Inc. is poised to acquire southeast Michigan's Suburban Collection, one of the nation's biggest privately owned dealership groups, according to a source familiar with the matter.
The deal, which would give Lithia a key foothold in the Midwest, could be announced as early as this week, according to the source.
The purchase covers nearly all of the Suburban Collections's retail automotive operations and property and is expected to close this summer, the source said.
The planned acquisition was reported earlier by cbtnews.com.
Suburban CEO David Fischer Jr. declined to comment.
Lithia CEO Bryan DeBoer on Sunday also declined to comment on the matter, adding that the company doesn't disclose information about partnerships and transactions before they're finalized. But DeBoer added that Lithia expects growth in 2021 to be on par with or exceed 2020's pace of acquisitions.
The Suburban Collection posted $2.7 billion in 2019 revenue with a concentration of Detroit 3, luxury and import stores. The longtime leader of the family enterprise, David Fischer Sr., recently stepped down as U.S. ambassador to Morocco with the change in White House administrations.
The group encompasses 33 brands represented at more than 54 locations in the U.S. and Canada, mostly in southeast Michigan, according to its website. It ranked 18th on Automotive News' list of the largest dealership groups in 2019.