Herb Chambers is selling his dealerships in $1.34 billion deal

Business

The deal marks the top of personal possession for one of many largest auto dealership chains.

Georgia’s Asbury Automotive Group will purchase New England’s Herb Chambers Corporations for $1.34 billion in a deal introduced Tuesday.

Asbury Automotive Group expects to shut the sale of Herb Chambers, which incorporates 33 dealerships, 52 franchises, and three collision facilities in Massachusetts and Rhode Island, later this yr.

The sale will mark the top of a long time of possession by Herb Chambers, the person of the identical title. Chambers purchased his first car dealership in New London, Connecticut, in 1985. The corporate has expanded all through the area to develop into the 14th largest personal dealership within the U.S. 

Chambers, the principal of the Herb Chambers Corporations, agreed to develop into Asbury’s Particular Advisor and can retain possession of the Mercendes-Benz of Boston in Somerville. 

“As I look again on the final 40 years in enterprise, I accomplish that with immense delight, and as I look ahead, I’ll accomplish that with nice satisfaction understanding what we constructed collectively will likely be in trusted arms,” Chambers, 83, stated in a press release. 

In keeping with financial documents, the sale consists of $750 million for “goodwill”—the corporate’s built-up status — and round $590 million for actual property and enhancements. 

The announcement stated that Herb Chambers Corporations employs greater than 2,200 folks and introduced in $2.9 billion in income final yr. 

Asbury Automotive Group is a Fortune 500 firm. As of final yr, it operated 152 new automobile dealerships, consisting of 198 franchises representing 31 home and overseas automobile manufacturers. Asbury additionally operates the automotive insurance coverage firm Complete Care Auto and 37 collision restore facilities. 

“Herb is an icon in Boston, and he has constructed a world class group, with a powerful status for serving his visitors and being extremely engaged within the communities,” David Hult, Asbury’s President and CEO, stated in a press release.

Beth Treffeisen is a normal project reporter for Boston.com, specializing in native information, crime, and enterprise within the New England area.