Penske Automotive Group to go private in US$16.3 billion deal

Penske Automotive Group has agreed to go private in a deal that values the US dealership giant at approximately US$16.3 billion, including debt. The buyout will be led by its largest shareholders, Penske Corp and Japan’s Mitsui & Co., through a vehicle named Motown Acquisition Corp.

The transaction involves purchasing the remaining 27.8% of the company not already owned by the two entities. Minority shareholders will receive US$212 per share in cash, representing an 8.8% premium over the stock’s closing price on October 14. Upon completion, Penske Corp is expected to hold roughly 64% of the company, while Mitsui will hold 36%.

The deal is subject to shareholder and regulatory approval, with closing anticipated in the first quarter of 2027. Once finalized, Penske Automotive Group will no longer be listed on the New York Stock Exchange. The company operates 362 retail automotive franchised dealerships, with 146 in the United States and 216 located internationally, primarily in the United Kingdom.