Company: GPI
Filing Date: 2025-07-24
Form Type: 10-Q
Source: 0001031203-25-000049
Chunk: 11

Company: GROUP 1 AUTOMOTIVE INC
Filing Date: 2025-07-24
Form: 10-Q
Item: Part I, Item 1
Chunk 11
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 of accounting, wherein the Company allocates the purchase price to the assets acquired and liabilities assumed based on an estimate of fair value.Inchcape Acquisition On August 1, 2024, the Company completed the acquisition of Inchcape Retail automotive operations (“Inchcape Retail”), consisting of 54 dealership locations, certain real estate and three collision centers across the U.K. (collectively referred to as the “Inchcape Acquisition”), for aggregate consideration of approximately $517.0 million.The purchase price allocation for the Inchcape Acquisition is preliminary. The Company is continuing to analyze and assess relevant information related to deferred income taxes. Due to the complexity of the Inchcape Acquisition, these amounts are provisional and subject to change as the Company’s fair value assessments are finalized. The Company will reflect any such adjustments in subsequent filings. The results of the Inchcape Acquisition are included in the U.K. segment. The acquired goodwill is not deductible for income tax purposes.

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Table of Contents GROUP 1 AUTOMOTIVE, INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) – (Continued)

The following table summarizes the consideration paid and aggregate amounts of assets acquired and liabilities assumed as of June 30, 2025 (in millions):Total consideration$517.0 Identifiable assets acquired and liabilities assumedCash$23.4 Contracts-in-transit and vehicle receivables, net27.6 Accounts receivable, net37.7 Inventories384.3 Prepaid expenses and other current assets14.1 Property and equipment286.1 Operating lease assets104.3 Intangible franchise rights123.7 Total assets acquired1,001.2 Floorplan notes payable236.4 Accounts payable204.6 Accrued expenses54.0 Operating lease liabilities75.4 Deferred income taxes41.1 Other liabilities3.9 Total liabilities assumed615.4 Total identifiable net assets385.7 Goodwill$131.3 The Company recorded $0.2 million of acquisition related costs attributable to the Inchcape Acquisition during the six months ended June 30, 2025. These costs are included in Selling, general and administrative expenses in the Condensed Consolidated Statements of Operations.The Company’s Condensed Consolidated Statements of Operations included revenues and net loss attributable to Inchcape Retail for the three months ended June 30, 2025 of $634.0 million and $2.6