JD Byrider, the Indianapolis-based leading used car sales and finance business, has been acquired by private equity firm Altamont Capital Partners (Altamont).
With a long-term investment horizon, Altamont will provide strategic direction, experienced resources and additional capital to support the company’s growth and franchisee expansion initiatives. The acquisition of JD Byrider is Altamont’s first investment from its USD500 million inaugural fund, which closed late last year. The firm is focused on acquiring and building middle-market businesses across a range of industries.
JD Byrider’s current President of Franchising Steven E Wedding will assume the role of CEO, and the JD Byrider executive team will remain in place. James F DeVoe, Jr will remain a member of the board of directors and will serve as a consultant to the company.
"This is a milestone day for JD Byrider," says Wedding. "As a result of nurturing the JD Byrider brand over 20 years, our company is and has always been the leader of the used car sales and finance industry. We have a unique franchising model, and our proprietary Discover System is the industry’s premier software. With this transaction, JD Byrider will be able to fully capitalise on existing business opportunities, including a large and fragmented market, and an expanding customer base. The investment will also allow JD Byrider to expand franchise-owned stores, add company-owned locations, pursue acquisitions and create additional opportunities for employee advancement."
Keoni Schwartz, Managing Director of Altamont, says: "This is an opportunity to bring innovation, sharper strategic focus and new capital to a business that is ripe for growth. We are enthusiastic about the opportunity to partner with Steve and his team to continue the work and make the investments required to help the company realise its full potential."
The company expects expansion to occur in several markets, and those interested in acquiring a franchise are encouraged to visit franchise.jdbyrider.com.
"Our business model is proven," says Wedding. "We’re eager to team with new franchisees who recognise a tremendous opportunity to join our growing system."
Stephens Inc. served as JD Byrider’s financial advisor on the transaction.