First Cash Financial Services announced today it is acquiring 24 pawn stores in Kentucky, Colorado, Wyoming and Nebraska.
The locations are all large format, full service pawn stores operating under the Mister Money brand. Two of the seven Kentucky locations are in Lexington.
"This is an important strategic transaction that significantly expands our store base and geographic presence in the U.S,” said Rick Wessel, chief executive officer of First Cash. “The acquisition represents a 17% increase in the number of our large format U.S. stores and expands our domestic footprint from eight to a total of twelve states. Mister Money has an established presence and customer base in each of the respective markets. The locations in Colorado, Wyoming and Western Nebraska provide us with a strong entry point into the Rocky Mountain region. In addition, the seven stores in Kentucky, coupled with our existing 13 locations in Indiana and Missouri, create a significant operating presence in the Midwest. We believe that that there is potential for continued future expansion in these markets."
The purchase price for the all-cash transaction was approximately $25.5 million.
The operations and earnings of the acquired stores have been consolidated into First Cash effective with the closing of the transaction on June 15, 2012. The Company expects transaction and integration costs associated with the acquisition of approximately $0.01 per share in the second quarter of 2012.