Penske Automotive Group, parent company of Premier Truck Group, will be taken private in a merger with Motown Acquisition Corp., owned by Penske Corporation and Mitsui & Co., Ltd., in a $16.3 billion.
"This transaction marks an important next chapter for PAG," says Roger Penske, chair and CEO. "Mitsui has been a shareholder for 25 years and we have had a productive relationship over the past quarter century. Together with Mitsui, we will build on PAG's operational excellence and draw on our combined capabilities and networks to drive innovation and expand PAG's business through new opportunities and collaborative projects."
[RELATED: Second quarter brings much needed boost to revenues, orders]
The deal was vetted and approved by a special committee of independent and disinterested directors on Penske Automotive's board. It unanimously recommended approving the deal.
"We are pleased to have reached this agreement with Penske and Mitsui, our largest shareholders," says David Hoogendorn, Penske Automotive Group board member and chair of the Special Committee. "The Special Committee thoroughly reviewed the proposal and considered the benefits of the transaction as compared to continuing as a public company and determined that this transaction provided the greatest value for the company's minority shareholders."
The company will now be 64% owned by Penske with Mitsui holding 36%. The transaction is expected to close in the first quarter of 2027.
