Shares of Consumer Portfolio Services, Inc, (NASDAQ: CPSS) skyrocketed on the Thursday session after the credit services company has received the proposal of acquisition. Auto Experience, Inc. disclosed that it has sent an acquisition proposal to Consumer Portfolio Services in which the company showed its intent to acquire CPSS in all cash-transaction at $135 million.
The acquisition price offered by Auto Experience Inc is double the current value of the Consumer Portfolio Services. This company has a total market capitalization of $110.73 million at the time of writing. Auto Experience was established in 2018 and its main aim is to chase strategic business opportunities in the automobile financing market. Auto Experience revealed that it offered a deal to CPSS to buy for approximately $6.18 per share of common stock. Shares of CPSS closed at $3.35 on October 7, 2020.
The main focus of Auto Experience is on strategic acquisitions and its target strategic opportunities that can change the good organizations into great ones through re-engineering of technology, operations, and capitalization. In its letter to Consumer Portfolio Services, the company clears its aim that it will add value to the company and its shareholder by using appropriate technologies.
The company wrote in a letter that strength digital capabilities as the market increasingly shifts online, and utilize a combination of existing resources and new leadership steeped in automobile financing and digital commerce.
Consumer Portfolio Services, Inc, (NASDAQ: CPSS) last closed at 4.69, in a 52-week range of $1.00 to $4.30. Consumer Portfolio Services, Inc, (CPSS) has moved up 369.00% and 9.07% from its 52-weeks low and 52-weeks high. Turing our focus on its profitability, it has a return on assets of 0.60%, return on equity of 9.60%, and return on investment of 0.20%. CPSS had a trading volume of 6.02 million as compared to the average volume of 109.90K.