Fidelity Holdings Completes Acquisition of Universal Kia
28 April 1999
Fidelity Holdings Completes Acquisition of Universal Kia
KEW GARDENS, N.Y.--April 28, 1999--Strategy in New York Metropolitan Area
Fidelity Holdings, Inc. today announced that through its wholly-owned subsidiary Major Automotive Group, Inc., the Company consummated the acquisition from Universal Ford, Inc., of the Kia dealership d/b/a Universal Kia, based on Northern Boulevard in Long Island City, New York. Universal Kia will be renamed Major Kia of Long Island City. This acquisition represents the Company's continued acquisition strategy in the New York Metropolitan area.
Bruce Bendell, Chairman and CEO of Fidelity, stated, "The Northern Boulevard location of Major Kia of Long Island City is of great advantage to Major Automotive as we continue to acquire dealerships with strategic geographic and demographic specifications. Major Automotive has expertly planned and implemented advertising, sales, service, media and a strong Internet presence, which we believe will provide the opportunities Major Kia of Long Island City requires to prosper . Due to the success of our used car operations in Long Island City retailing over 400 cars per month - we believe that Kia's pricing and affordability is a comparable contender in that arena, providing a significant sales avenue."
Doron Cohen, President of Fidelity, added, "We are extremely enthused with the aggressive acquisition strategy Major Automotive is pursuing and results it has garnered. As Fidelity evolves, we continue to witness success on all fronts. Through Major Automotive's acquisition of Universal Kia, we see continued growth for our automotive division."
Other companies experiencing growth through regional and/or national automotive consolidation strategies are: Lithia Motors , Republic Industries , Group I Automotive , United Auto Group and Cross-Continent Auto Retailers .
Fidelity Holdings has been a diversified holding company that utilizes information and technology to target industries experiencing consolidation and/or deregulation. The Company operates two divisions - Automotive and Technology. The Automotive Division operates through Major Automotive Group, a leading consolidator of automotive dealerships in the New York Metropolitan area. The Technology Division operates under Computer Business Sciences and its newly formed IG2, Inc. subsidiary, and its plastics subsidiary.
Fidelity Holdings, Inc. is presently exploring the divestiture of its non-automotive activities by way of sale, merger, consolidation or other opportunities.
For additional information, visit our website at www.fdhg.com, www.majorautomotive.com and www.majorworld.com.
The information contained in this press release, including any "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 contained herein, should be reviewed in conjunction with the Company's annual report on form 10-KSB and other publicly available information regarding the Company, copies of which are available from the Company upon request. Such publicly available information sets forth many risks and uncertainties related to the Company's business and such statements, including risks and uncertainties related to that are unpredictable and outside of the influence and/or control of the Company.