Vehicle transportation provider Auto Driveaway Franchise Systems has been acquired by an investor group led by Rodney Ruth, its current president and chief executive.
Ruth, 49, led the acquisition that's been described as a recapitalization transaction for the Lombard, Ill.-based vehicle mover, the company announced. Terms of the transaction were not announced.
The new ownership group includes William V. Glastris, a Chicago-based private equity investor who will serve as chairman. Other investors include attorney S. Michael Peck and three area executives. Three current franchise office owners will continue to serve on the board of the new company.
The investor group acquired all membership units from AD Acquisition, LLC, a holding company set up in 2004 by 24 franchise office owners to acquire it from its founding family. The company was founded in 1952 by John Sohl.
The company grew from a single location that started by specializing in moving vehicles to and from the East Coast and winter homes in Florida. Auto Driveway now operates 40 company owned and franchise offices serving large corporate fleets, as well as vehicle leasing and management companies.
"This transaction marks a significant milestone in the continuing success of Auto Driveaway and provides the system with substantially enhanced access to capital as well as considerable expertise and business-building experience that we believe will allow us to grow steadily for a significant time to come," said Ruth in a statement.