Software giant Dealertrack Technologies, Inc. is involved in another acquisition.
This time it’s with DealerSocket, a San Clamente, Calif.-based company that provides marketing, sales, customer experience, DMS and data mining solutions to car dealerships.
The two companies announced they have entered a definitive agreement under which DealerSocket will acquire Dealertrack’s Inventory+ solution in an all cash transaction for around $55-million U.S.
The deal includes Dealertrack’s Inventory+ suite of inventory management solutions, including its AAX product in the U.S. and Canada, as well as its eCarlist websites. Not included are Dealertrack Canada’s Tradetracker product or Central Dispatch.
Inventory+ helps dealers quickly and accurately categorize, enrich and display their vehicle inventory to prospects and customers, while providing dealers with reporting and analysis tools. DealerSocket said that Inventory+ will remain in Dallas and run independently from the rest of the DealerSocket product suite.
The companies said the Inventory+ acquisition is contingent on approval from the U.S. Department of Justice, in connection with its pending review of Cox Automotive’s acquisition of Dealertrack.
Dealertrack said it is cooperating with DealerSocket and Cox Automotive to get the acquisitions finalized.
Earlier in June, Cox Automotive announced it was in the process of buying Dealertrack for $4-billion U.S. Both acquisitions are expected to be completed by the end of the third quarter of 2015, subject to regulatory approval.
“As we work to complete our transaction with Cox Automotive, DealerSocket’s acquisition of our Inventory+ business is a great result for our Inventory+ employees, customers, and our company as a whole,” said Mark O’Neil, chairman and CEO of Dealertrack, in the company’s press release. “Seamlessly transitioning our Inventory+ team members and customers to DealerSocket is a top priority,” he added.
“We are pleased to be bolstering DealerSocket’s comprehensive website solutions, Customer Relationship Management and training solutions with the highly complimentary inventory management services available through Inventory+,” said Jonathan Ord, CEO of DealerSocket, in a written release. “We look forward to welcoming the Inventory+ team to our organization and to working together to ensure a smooth transition for customers.”
