Reynolds Acquires F&I Product, Service Provider

The Reynolds and Reynolds Co. acquired American Guardian Warranty Services, a provider of vehicle service contracts, limited warranties and other F&I products and services. The acquisition will provide a clear path for dealers looking to streamline selling after-market products, no matter where the customer is – online, in-store or a combination of the two.

“Consumers are demonstrating that regardless of how they shop, they see growing value in F&I products. But they expect to be educated, and they expect accurate pricing,” said Reynolds President Chris Walsh. “AGWS has proven to be the leader in after-market product offerings and customer service, and Reynolds provides the tools to help sell effectively, rate products, and book contracts instantly, no matter where the customer is.”

When the acquisition finalizes, the current AGWS leadership team will remain in place. Reynolds believes in the value and importance of its people, and the company looks forward to welcoming AGWS employees to its team.

“For 25 years, AGWS has grown and thrived as a leader, innovator and important part of the F&I products business and retail vehicle industry,” said AGWS President Jon Anderson. “Now, combined with Reynolds’ industry-leading technology and tools, like the docuPAD system and Gubagoo Virtual Retailing, dealers will be able to provide a seamless F&I selling experience for both their customers and their employees.”

“The acquisition of AGWS shows Reynolds’ continued growth through strategic investments as we expand our footprint in retail automotive,” said Robert Burnett, Reynolds executive vice president of corporate development. “Much like our acquisition of Proton Dealership IT last year, AGWS has established itself as a leader in the segment of the industry they are experts in.”

“This opportunity brings together the immense skills, resources and experience of two industry-leading companies. The outcome will be industry-changing,” said co-founder Rogers P. Freedlund Jr. of AGWS. “Thank you to all the AGWS team and everyone involved with this transaction.” Freedlund will retire after more than 50 years in the industry upon completion of the transaction after a decades-long career of leading and building four companies.

Katten Muchin Rosenman LLP in Chicago served as legal adviser to AGWS on the transaction. Waller Helms Advisors served as exclusive financial adviser to AGWS. Colonnade Securities LLC served as exclusive financial adviser to Reynolds and Reynolds. Colonnade was selected by Reynolds due to its position as the leading investment bank in mergers and acquisitions for the auto F&I industry.

“Reynolds and AGWS are a great fit together due to AGWS’ expertise and unrivaled service, and Reynolds’ knowledge, resources, and ability to scale,” Walsh said. “The quality products and services AGWS offers are an essential part of every automotive consumer’s journey, and an important part of the success of dealerships across the country.”