Rush Enterprises, Inc., which operates a network of commercial vehicle dealerships in North America, announced that certain of its subsidiaries have entered into agreements to purchase certain assets of CIT, Inc., which does business as Chicago International Trucks, Mcgrenho L.L.C., which does business as Indy Truck Sales, and Indiana Mack Leasing, LLC; and the membership interests of Idealease of Chicago, LLC.
The acquisition includes International commercial truck dealerships and Idealease commercial vehicle rental and leasing businesses in Carol Stream, Chicago, Grayslake, Huntley, Joliet, Kankakee and Ottawa, Illinois, and Brazil, Gary and Indianapolis, Indiana, which, collectively, had unaudited revenues of approximately $405 million in 2012.
The proposed acquisition is expected to close, subject to customary closing conditions, in the first quarter of 2014. When complete, the acquisition will expand the company's contiguous network of Rush Truck Centers in the Midwest.
The company said it anticipates the purchase price for the assets will be paid in cash and partially financed under the company's commercial vehicle borrowing and accounts receivable financing arrangements. The company added that it expects the transaction to be accretive to future earnings.
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