Portfolio Holding Inc. today announced it has agreed to acquire National Automotive Experts/NWAN, a Strongsville, Ohio-based F&I products provider and administrator.
Executives said the acquisition unites complementary companies with strong suites of products and services but minimal overlap in marketing territories. President and CEO Brent Griggs indicated that Portfolio’s continuous effort to find great opportunities to grow in an increasingly competitive field drove the acquisition.
“We cannot ignore the trend toward consolidation at every level of our industry,” Griggs said. “In NAE/NWAN, we saw an opportunity to not only expand and strengthen our own presence in major markets but join forces with a highly successful and universally admired competitor. Whether in terms of performance or corporate culture, we could not have imagined a better fit.”
In addition to its F&I offerings, Portfolio is a national leader in dealer participation programs, having been ranked among the top reinsurance providers in every Dealers’ Choice Awards survey commissioned by Auto Dealer Today since the category was introduced in 2008. Based in Lake Forest, Calif., with operations in Dallas, Portfolio intends to maintain NAE/NWAN’s operations in their Cleveland-area offices.
“We couldn’t be more excited to join the Portfolio family, and we know this move will benefit everyone involved — our associates, our agents, our dealers and, most importantly, our customers,” said Kelly Price, CEO of NAE/NWAN. “We are confident that the combined culture and experience in the industry will make us unstoppable.”
Abry Partners, a leading Boston-based private equity firm, recently acquired a majority interest in Portfolio. Brent Stone, a senior partner at Abry, said, “We are very excited about the opportunity to assist the Portfolio team in the acquisition of NAE. We consider NAE one of the premier players in the F&I space and believe the combined company will be well positioned in a competitive marketplace. We look forward to continuing to provide both NAE and Portfolio the resources to help them succeed.”
Houlihan Lokey advised NAE/NWAN in the structuring and negotiation of the transaction.