Three New Auto Franchises Acquired by Major Automotive
13 October 1999
Fidelity Holdings' Major Automotive Adds New Dealerships
KEW GARDENS, N.Y.--Oct. 13, 1999--Fidelity Holdings, Inc. today announced that through its wholly owned subsidiary Major Acquisition of New Jersey, the Company agreed to acquire Essex County, New Jersey-based Brunner Cadillac, Oldsmobile and Pontiac, subject to review by General Motors. The acquisition, coupled with Major's previous acquisition of Essex County-based Compass Lincoln-Mercury, reflects the Company's ongoing commitment to expanding to New Jersey and throughout the New York metropolitan region, and to continue Major's aggressive expansion plan.
Bruce Bendell, Chairman and CEO of Fidelity, said: "The combination of these auto brands, together with the growth potential they represent, were significant factors that greatly appealed to us. With the addition of these dealerships, Major will offer 12 different franchises, which include Chevrolet, Lincoln, Mercury, Chrysler, Plymouth, Jeep, Subaru, Dodge and Kia, in addition to the Brunner Cadillac, Oldsmobile and Pontiac franchises. This brand diversity creates great opportunities for achieving our goals. We are confident we can further our strategy by offering dealers attractive alternatives and increase dealership profits. We are especially pleased to have the opportunity to reap the benefits of the Brunner reputation and expertise within the automotive community."
William R. Brunner, President of Brunner Cadillac, Oldsmobile and Pontiac, stated, "We are very excited about becoming part of the Fidelity family. We expect to successfully combine our 81 years of service excellence with Fidelity's used car sales power and technology infrastructure to create a state of the art Cadillac-Oldsmobile-Pontiac dealership to serve Essex County in the new millennium."
Fidelity Holdings has been a diversified holding company that utilizes information and technology to target industries experiencing consolidation and/or deregulation. The company has operated 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 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.