Dallas-based Manchester, Inc. to acquire Discovery Byrider and Brightstar Financial Group

by PegNews wire

The company is seeking to create the preeminent company in the Buy-Here/Pay-Here auto business.

DALLAS — Manchester, Inc. announced today the execution of a Letter of Intent with Jacksonville-based Buy-Here/Pay-Here used car dealers, James Thompson and James Kagiliery, to acquire eight entities: Discovery Byrider, Inc., Overdrive Systems, Inc., Brightstar Financial Group, Inc., Drivestar Financial Group, Inc., Drivestar Financial II, Inc., Overdrive Systems II, Inc., Ticket 2 Drive, Inc., and Mytac, Inc. Manchester intends to acquire these companies from James Thompson, James Kagiliery and other shareholders.

"The possibility of the acquisition of Discovery and Brightstar, presented a unique opportunity for our organization. Over the last eight years Jim Thompson and Jim Kagiliery have built a successful organization with 2006 revenues exceeding $62 million," said Rick Stanley, Manchester's Chief Executive Officer. Stanley added, "As stated previously, the second major phase of Manchester's business plan is to accelerate our future acquisitions and we are fortunate to bring these operations into our organization. The quality of management represented by Jim Thompson and Jim Kagiliery is generally only found in independently owned operations. By acquiring companies like Discovery we not only get a good business but top quality management that is not readily obtainable otherwise."

Manchester, headquartered in Dallas, is seeking to create the preeminent company in the Buy-Here/Pay-Here auto business. Manchester intends to sell acquired and newly generated receivable portfolios through a securitization process. Buy-Here/Pay-Here dealerships sell and finance used cars to individuals with limited credit histories or past credit problems, generally financing sales contacts ranging from 24-48 months.

Source: Manchester, Inc.