Lithia Motors Inc.'s expansion to Canada last week positions other U.S. dealership groups to follow the rapidly growing megadealer north.
The second-largest dealership group in the U.S. acquired Canadian retailer Pfaff Automotive Partners on Aug. 30, giving Lithia its first international outposts, with stores in Toronto and Vancouver. Lithia CEO Bryan DeBoer had previously described Canada as the group's "No.1 target."
And some of Lithia's U.S. competitors already appear to be looking across the border.
Farid Ahmad, CEO of Dealer Solutions Mergers and Acquisitions, a large dealership buy-sell advisory firm in Canada, said other U.S.-based public retailers have made inquiries to his firm about dealership groups in Canada that may be available to buy.