Houlihan Lokey Advises Automotive Business Solutions

Houlihan Lokey is pleased to announce that Automotive Business Solutions (ABS) has been acquired by Brown & Brown Dealer Services (BBDS), a subsidiary of Brown & Brown, Inc. (NYSE:BRO). The transaction was simultaneously signed and closed on December 7, 2023.

With more than twenty years of industry experience, ABS is a leading administrator of warranty products in the automotive aftermarket, providing nationwide parts and labor repair warranties, national road hazard programs, and component-specific warranties. The ABS team will continue to operate from ABS headquarters in Denver, Colorado.

Headquartered in Daytona Beach, Florida, BRO is a leading insurance brokerage firm delivering risk management solutions to help protect what customers value most. Its four business segments, retail, national programs, wholesale, and services, offer insurance products and services to businesses, corporations, government institutions, professional organizations, trade associates, families, and individuals.

ABS’ innovative product offerings of aftermarket solutions will bolster the capabilities of BBDS’ leading F&I platform, which the company can leverage to provide new value-added solutions to its roster of leading tire and aftermarket auto part suppliers.

Houlihan Lokey served as the exclusive financial advisor to ABS and assisted in initiating, marketing, structuring, and negotiating the transaction on its behalf.

This announcement marks Houlihan Lokey’s third transaction in four years with BRO, highlighting the group’s focus on fostering deep relationships with repeat business and further solidifying Houlihan Lokey’s position as the leading advisor to the automotive warranty industry.

Other recent relevant Houlihan Lokey transactions include AUL Corp.’s sales to Protective Life and Brookside Equity Partners, Vehicle Administrative Services’ sale to BRO, Revolos’ sale to Protective Life, National Automotive Expert’s sale to Portfolio Holding, Inc., American Financial and Automotive Services’ sale to Assurant, Inc., and Portfolio Holding, Inc.’s sale to Arby Partners, among many others.