Republic Industries Buys Auto Dealerships for $100 Million

12/26/96

Reuters has reported that Republic Industries Inc. has announced its intention to buy Ed Mullinax Inc. for $100 million. Ed Mullinax owns Ford and Lincoln-Mercury dealerships in northeast Ohio and southern Florida. The cost of Republic's stock climbed $1.25 to $32.75 on the Nasdaq market, after the announcement.

Republic completed its acquisition of Alamo Rent-A-Car for $625 million last month, and said it will issue $100 million of common stock to pay for Ed Mullinax. A spokesman for Republic said the acquisition of Ed Mullinax would add to Republic's earnings, although he did not say by how much.

Paul Dever -- The Auto Channel