Priority has acquired the assets as joint venture with Dealer Merchant Services (DMS), a Dallas-based company specializing in credit card payment processing for auto dealerships.
DMS is one of the fastest growing companies in the country landing at #120 on the Inc 5000 list and #9 in financial services. Their team of 40 has over 450 years in automotive expertise, supporting over 1000 dealerships nationwide, and has exclusive endorsements from 17 state dealer associations, giving it unique access to thousands of auto retailers.
With this acquisition, Priority is entering a new vertical market shaped by a clear industry trend: Americans are holding on to their cars longer than ever. The average age of a vehicle on the road has reached 12.8 years — the highest in history.
As a result, consumers are spending more on maintenance, repairs and warranties, which makes dealership service centers an increasingly important part of the automotive business.
“We’re excited to add the team at Dealer Merchant Services, and its integrated software and distribution in automotive dealerships, to Priority,” said Priority CEO Tom Priore. “By combining DMS’s dealership expertise with Priority’s connected commerce platform, we’re well positioned to support this growing demand with integrated solutions.”
This is increasingly important, he said, for dealerships that own multiple locations and brands across more than one state, which is a structural trend in the industry.
“We are thrilled to deliver next -generation payments technology and expanded solutions to everything with an engine! This partnership brings together the best of both worlds – technology and automotive expertise,” said Amberly Allen, DMS Founder and Managing Partner.
Wellsley Hills Financial LLC, lead by Eddie Galvan, served as exclusive financial advisor and Payments Law Group was the exclusive legal advisor to Dealer Merchant Services on its sale to Priority Technology Holdings, Inc. Maynard Nexsen PC served as legal advisor to Priority.
