Patrick Priestner’s track record for innovation remains unbroken. By forming a new holding company, PPH, the Executive Chairman of AutoCanada will acquire Whitby Oshawa Honda and still comply with Honda Canada’s restrictions on public ownership.
Priestner is sole owner of the equity and voting shares of PPH, which was formed specifically to purchase a Honda dealership.
By providing a “participatory loan” to PPH, financing 80 per cent of the Whitby Oshawa Honda purchase, AutoCanada expects a return of about 80 per cent of the profits. The deal was reviewed and approved by AutoCanada’s Independent Board of Directors and by Honda Canada.
Based in Whitby, Ont., Whitby Oshawa Honda has been servicing the area for more than 25 years and last year sold 812 new vehicles and 725 used vehicles. Priestner, who was awarded the CADA Innovator Laureate in 2008, will be named dealer and operator.
“I am extremely excited about receiving Honda Canada’s approval to purchase this great dealership,” said Priestner, in a written release. “The Honda brand is one of the leading brands in the world automotive market and represents a significant milestone for me.”
Meanwhile, AutoCanada continues its aggressive acquisition streak into Eastern Canada with its latest agreement to purchase the operating assets of 417 Infiniti Nissan, which owns and operates two dealerships in Ottawa.
