Fusion Auto Finance, a credit union leasing firm based in Bedford, Texas, announced that it has acquired the GrooveCar Family of Brands, a credit union auto leasing company based in Bethpage, N.Y.
Terms of the purchase were not disclosed.
GrooveCar's family of brands includes CU Xpress Lease, an auto lease program for credit unions, with a portfolio exceeding $5 billion and more than 100,000 vehicles; as well as GrooveCar Direct, an online auto buying platform exclusively for credit union members.
The transaction also includes CU Xpress Lease CA, CUAutoCoupon, and GrooveCar Inc.
CU Xpress Lease was itself a joint effort of the two companies prior to this acquisition. GrooveCar provided the indirect lending platform, marketed the program to dealers, acted as a liaison on behalf of the credit union, and managed the dealer relationships. By acquiring CU Xpress Lease, Fusion said it will now be able to “increase efficiencies, collaboration, and competitiveness of the program.”
“GrooveCar provides an exciting opportunity for us to strengthen our relationships with our credit union partners and to accelerate our growth plans into new markets,” said Jim Calvert, CEO of Fusion Auto Finance., in a statement, “We’re excited to welcome the GrooveCar team to our organization and look forward to working together to further enhance our product offering.”