Asbury Automotive to use existing credit facility for Jim Koons buy

By Sara Rosenberg

New York, Sept. 8 – Asbury Automotive Group Inc. plans to use its existing credit facility and cash on hand to fund its acquisition of Jim Koons Automotive Cos., according to an 8-K filed with the Securities and Exchange Commission on Friday.

Jim Koons is being bought for an aggregate purchase price of about $1.2 billion, which includes $740 million for goodwill, and around $417 million for the real estate and leasehold improvements. In addition, Asbury will acquire new vehicles, used vehicles, service loaner vehicles, fixed assets, parts and supplies for a purchase price to be determined at the closing of the transaction.

Closing is expected in the fourth quarter of 2023 or early in the first quarter of 2024, subject to customary conditions.

Asbury is a Duluth, Ga.-based automotive retail and service company. Jim Koons is a privately owned auto dealership group.

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