Carvana's plan to buy the No. 2 auction company in the U.S. could have major consequences in a segment where competition has long been stable, according to analysts' initial impressions of the pending acquisition. The deal, announced late last week and valued at $2.2 billion, would hand over control of ADESA's 56 U.S. locations, brand name, ADESA.com U.S. marketplace and some 4,500 employees to Carvana. It's a substantial move on Carvana's part - one the retailer hopes will expand its customer reach and strengthen its ability to recondition larger numbers of used cars and trucks to make them sale-ready. Analysts said the addition of ADESA will boost Carvana's reconditioning capacity, possibly putting the company in good shape to nab a larger portion of a highly fragmented used-vehicle market.
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