Penske Automotive Group agrees to be taken private for $212.00 per share in cash

Third-quarter revenue reached $8.42 billion, while earnings per share fell $0.04 short of expectations.

Penske Automotive Group agreed to be taken private by Motown Acquisition Corp., a company owned by Penske Corporation and Mitsui & Co. The deal values the company at an enterprise value of about $16.3 billion, a measure of total value that includes debt. Unaffiliated shareholders would receive $212.00 per share in cash. The deal is expected to close in the first quarter of 2027.

Third-quarter revenue came in at $8.42 billion, above the $8.25 billion expected. Earnings per share were $3.43, excluding costs of the proposed transaction, which is $0.04 below expectations. The board raised the quarterly dividend by 1.4 per cent, or $0.02 per share, to $1.46. The company had already announced the increase on October 15. The dividend is payable on December 1, 2026, to shareholders of record on November 13, 2026.

The merger agreement limits share buybacks. The company does not expect to buy back more stock while the deal is pending.

The earnings miss matters less than usual. The agreed price now sets the value of the shares, not operating results. The dividend rise continues the existing payout through closing. The buyback limit is the bigger change. It removes a tool the company had used to support its share price, and it signals that management is focused on completing the deal rather than returning cash beyond the fixed dividend.