Dealertrack to acquire VINtek
Dealertrack announced today that it had signed a definitive agreement to acquire VINtek. Dealertrack provides software solutions in the automotive retail industry. The latter is a provider of collateral management, electronic lien and title (ELT) and consumer automotive finance processing services.
VINtek is a leader in delivering comprehensive ELT and collateral management services to more than 3000 banks, credit unions and automotive finance firms in the US. The company also offers a number of industry leading services and eContracting solutions that had been supporting the on-line approval of auto loans.
According to DealerTrack Executive Vice President Mark Furcolo, "VINtek has been an innovator and strong supporter in the ELT marketplace for years, and is well-respected by state governments, including their departments of motor vehicles. We believe that the combination of VINtek and Dealertrack will give us a powerful platform to better address the ELT and collateral management needs of states and automotive finance lenders in the future, as well as create innovative new product opportunities, which improve efficiencies for automotive dealers to sell and finance vehicles."
Larry Highbloom, President at VINtek said, "The uniting of our organizations will allow us to deliver operational and service synergies that will benefit all of our customers, as well as the technologies and services that will help them grow their automotive loan volumes. We look forward to working with our existing customers, and Dealertrack's customers, to deliver ELT and collateral management solutions that will set the standard for others to follow."
The transaction was valued around USD53.4 million in cash and would be subject to standard purchase price adjustments.