GPB Capital Sells Automotive Assets to Group 1 for $880m

Private equity firm GPB Capital Holdings LLC, currently facing fraud allegations from the Securities and Exchange Commission and more than a half-dozen states, is selling its Prime Automotive Group of car dealerships for about $880m.

The sale to Houston-based Group 1 Automotive Inc. by GPB Automotive Portfolio LP, the entity formed by the New York firm for its auto dealer assets, includes 30 stores and three collision repair shops in mid-Atlantic and Northeast markets, according to a regulatory filing Monday.

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Earlier this year, GBP Capital Holdings and three individuals were charged by the Securities Exchange Commission (SEC) with allegations involving fraud and running a $1.6 billion Ponzi scheme. 

Source: Wall Street Journal

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