OPENLANE has agreed to acquire the Manheim Canada business from Cox Automotive in a deal valued at $130 million (CAD), which is $95 million (USD), the company said Monday afternoon.
The deal, which is subject to certain customary closing conditions, includes the Manheim Montreal facility and auction sales, operations and select staff across Manheim Canada.
Manheim plans to exit Canada.
“OPENLANE’s vision is to build the world’s greatest digital marketplaces for used vehicles — and this acquisition helps advance our digital strategy,” OPENLANE CEO Peter Kelly said in a news release. “Building on the momentum of our combined, single OPENLANE Canada digital marketplace launch in June, this transaction will help accelerate commercial and dealer growth, and deliver an improved customer experience.
“For buyers — more inventory means more choice and a simplified way to find the very best vehicles for their lots. For sellers — instantly accessing OPENLANE’s broad buyer-base means achieving the best market results possible on every sale. And by deepening our data set, we can generate enhanced vehicle recommendations, pricing information and other insights to help customers make better informed wholesale decisions,” Kelly said.
As part of the deal, OPENLANE is taking on Manheim Canada’s customer relationships. Once the deal closes, OPENLANE will integrate Manheim Canada’s business into the OPENLANE Canada business.
Auto Remarketing will have more on this developing story.