AutoTrader.com, which runs a website linking buyers and sellers of used cars, has agreed to acquire Kelley Blue Book, a provider of new- and used vehicle information.
Details of the transaction, which is expected to close by the end of the year, are not being disclosed, Atlanta-based AutoTrader said in a statement to PRNewswire today. The price is about $500 million, the Wall Street Journal reported,
Paul Johnson, Kelley Blue’s chief executive officer and the rest of the “leadership team” will remain in place, according to the statement. Kelley Blue, founded in 1926, provides auto information to dealers, banks and insurance companies in the U.S. on a weekly basis, according to the statement.
“Together we can bring a host of new technologies and tools to market that will significantly improve the car shopping process for consumers, and help auto dealers and manufacturers,” AutoTrader President and CEO Chip Perry said in the statement.
JPMorgan Chase & Co. acted as Kelley Blue’s financial adviser on the sale, while Goldman Sachs Group Inc. provided financial advice to AutoTrader, the acquiring company said.
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