LMP Automotive Holdings to sell Stellantis dealership, hires BofA Securities as it seeks ‘strategic options’ for company; CFO terminated

LMP Automotive Holdings Inc. stated it will sell its Stellantis dealership in New York, which it expects will create $15.8 million.

The publicly traded Fort Lauderdale, Fla., automobile retailer said Friday that it has signed an agreement to provide its Chrysler-Dodge-Jeep-Ram retail outlet in White Plains, N.Y. The transaction is expected to shut in October.

LMP is providing the shop to TAG Holdings of Rhode Island, in accordance to a Monday regulatory submitting. TAG Holdings’ incorporation documents have the same address as Tasca Automotive Team in Cranston, R.I.

BofA Securities is the broker for that deal.

In February, LMP mentioned it was discovering strategic alternatives for its small business including a attainable sale of the organization, as it announced it would terminate seven pending acquisitions because it was unable to secure financing to fork out for them and to close the deals below contracted time frames.

LMP purchased an 85 per cent stake in White Plains Chrysler-Dodge-Jeep-Ram in Oct. It has seven other franchised dealerships in its portfolio.

The retailer reported very last 7 days that the relaxation of its genuine estate appraised for about $50 million and that it thinks its residence and dealerships, together with the Stellantis retail outlet below contract, are worthy of about $104 million.

“We imagine that our inventory value does not replicate web asset benefit of our business and carry on to request strategic selections to improve shareholder benefit and we have engaged BofA Securities to help us in the method,” the corporation explained in a information launch.

LMP’s stock was buying and selling at $5.55 a share about 2:45 p.m. Monday. It had been buying and selling at a lot more than $20 a share inside the earlier year.

Previous thirty day period, LMP said it also offered property in Plantation, Fla., for about $4 million, according to a regulatory submitting.

LMP has not described money final results for the fourth quarter of 2021 and to start with quarter of this year and has said it will restate monetary outcomes for the very first 3 quarters of 2021. The enterprise also faces a feasible course-motion lawsuit, and has submitted lawsuits looking for the return of deposits it produced for acquisitions that it terminated.