Carvana Acquires Fifth Stellantis Store
Automotive News reports Carvana has acquired Sacramento (Calif.) Chrysler Dodge Jeep Ram, marking the used car megaretailer’s fourth such transaction since it purchased its first franchised dealership, the former Jerry Seiner CJDR of Casa Grande, Ariz., less than a year ago.
Carvana now owns five Stellantis dealerships — the other three are located in or near Atlanta, Dallas and San Diego — all of which have been rebranded with the company’s name.
“We are proud to bring the Carvana experience to Chrysler, Dodge, Jeep and Ram customers in the Sacramento area,” a spokesperson tells AN’s Gail Kachadourian Howe.
Following Carvana’s September acquisition of Park Cities (Texas) CJDR, 24/7 Wall St.’s Rich Duprey surmised the company’s investment in franchised dealerships is intended to create a reliable inventory channel.
“But managing dual sales models risks operational chaos, regulatory snags from franchisors and diluted focus on what made Carvana a disruptor,” Duprey wrote. “Investors should eye its execution closely as one misstep could stall the stock’s historic rebound from near-bankruptcy lows in 2022.”
