Why Reynolds and Reynolds is looking for more acquisitions

Retail technological know-how big Reynolds and Reynolds Co. remains on the hunt for acquisitions even just after getting two corporations final month, and more deal-generating is probable this 12 months however, firm President Chris Walsh advised Automotive News.

Walsh first advised Automotive Information in February that the enterprise would glance for acquisitions in 2022 as aspect of its larger plan to bolster its product or service portfolio and offerings. Due to the fact then, the Dayton, Ohio-centered dealership administration method company has concluded two acquisitions.

Reynolds in early July acquired Motility Computer software, which sells dealership administration application to powersports and other specialty shops. Then, on July 29, it finalized a deal to invest in Proton Dealership IT, a cybersecurity and details technologies solutions and companies service provider.

But Reynolds is not carried out.

“We’ve received plenty of factors that we’re wanting at right now, and again, I do assume you will find chances inside of automotive to type of diversify and get into parts that are not spots that are kind of our core competency but are continue to major wants,” Walsh claimed. “Proton’s a best instance of that.”

Cybersecurity applications are in desire by dealerships suitable now, which is why the organization sought to make a transfer in that house, he mentioned.

“It can be not some thing the place we’re almost as superior as [Proton is] on it, so it built perception to husband or wife and leverage the sources and solutions that they now experienced,” Walsh reported.

Reynolds is also eyeing the finance and insurance policies house for acquisition chances, he stated.

The company bought retail engineering vendor Gubagoo past calendar year, a deal Walsh described as “substantial.”