Penske Automotive Group Expands Its Reach in California and Texas with Key Acquisitions

Penske Automotive Group Expands Its Reach in California and Texas

Penske Automotive Group, Inc., a global leader in automotive and commercial truck retailing, has recently completed a major expansion in California and Texas. The acquisitions of four prestigious dealerships—namely Longo Toyota, Longo Lexus, Lexus of Stevens Creek, and Longo Toyota of Prosper—were officially announced on November 19, 2025. With this move, Penske reinforces its commitment to growth and excellence in the automotive sector.

Strategic Acquisitions

The newly acquired dealerships are strategically located, with Longo Toyota situated in El Monte, California, which is recognized as the largest Toyota dealership in the United States. Longo Lexus, also in El Monte, has held the title of the number one volume Lexus dealer in the Western U.S. for an impressive 35 years. Additionally, Lexus of Stevens Creek is acclaimed as the top volume Lexus dealer in Northern California for over two decades. Longo Toyota of Prosper, which is in a rapidly growing suburb of Dallas, Texas, rounds out this impressive group of acquisitions.

These dealerships collectively retailed over 28,000 new and used vehicles in 2024. Penske forecasts that these acquisitions will generate an estimated annualized revenue increase of $1.5 billion, indicating the substantial potential these new additions have for the company.

Expansion into Key Markets

Penske Automotive's strategic acquisitions in California and Texas not only enhance their overall sales potential but also significantly strengthen the company’s relationship with the Toyota and Lexus brands. By expanding their footprint, especially into the bustling Los Angeles area and the thriving Dallas market, Penske solidifies its position as a leading automotive retailer.

Rich Shearing, North American Operations Officer, shared his enthusiasm regarding these acquisitions: "The acquisition of these premier dealerships represents a strategic addition to the Penske Automotive Group portfolio. The transaction not only strengthens our bond with the Toyota and Lexus brands but also enhances our existing presence in California and Texas. We are eager to uphold the outstanding legacy of these dealerships while integrating new team members into the Penske family."

Financial Aspects of the Deal

The financial backing for these transactions was facilitated through a mixture of existing resources under Penske's U.S. credit agreement and a note payable to the seller. The deal underscores the company’s robust financial health and its capability to seize growth opportunities in the competitive automotive market.

About Penske Automotive Group

Headquartered in Bloomfield Hills, Michigan, Penske Automotive Group operates dealerships across various countries, including the United States, the United Kingdom, Germany, Japan, and Australia. It has established itself not only as a prestigious automotive retailer but also as one of the largest dealers of commercial trucks in North America.

Employing more than 28,300 individuals globally, Penske Automotive Group continues to thrive in an ever-evolving market. The company's strategy involves not only acquiring high-volume dealerships but also providing innovative transportation and supply chain solutions to their clients.

As Penske Automotive Group forges ahead with these new acquisitions, it continues to play a pivotal role in shaping the automotive retail landscape, assuring its stakeholders and customers of an unwavering commitment to quality and customer satisfaction. The future looks bright for Penske as it endeavors to expand its influence in significant American markets, adapt to the challenges of the automotive industry, and maintain its status as a trusted automotive retailer.

For additional information, visit www.penskeautomotive.com.