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Opus Acquires AutoEnginuity 

Drew Technologies, an Opus IVS division company, acquired AutoEnginuity for a purchase price of approximately $20 million.

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Drew Technologies, Inc., an Opus IVS division company, acquired AutoEnginuity, LLC for a purchase price of approximately $20 million on a cash-free and debt-free basis. All conditions for completion of the acquisition of AutoEnginuity have been met.

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Background and reasons for the acquisition 

AutoEnginuity, founded in 2003 and headquartered in Mesa, Arizona, has developed into a leader in advanced aftermarket automotive diagnostics software and associated vehicle make/model coverage. The combined Opus IVS companies serve an existing customer base of 50,000 automotive repair shops globally, by providing vehicle diagnostics and vehicle communication offerings to address the trend of increased vehicle digitalization and automation. 

• Drew Technologies, Inc. (Drew Tech) has acquired the membership interests of AutoEnginuity, LLC for a purchase price of approximately $20 million on a cash-free and debt-free basis. Drew Tech paid $10 million at closing and will make additional payments of $5 million in 2021 and $5 million in 2022. 

• Additional amounts may be paid over the next 5 years depending on performance of the AutoEnginuity business. 

• With the acquisition, AutoEnginuity becomes a subsidiary of Drew Tech, managed under the Opus IVS division. AutoEnginuity management signed multi-year employment agreements; all staff are expected to continue working under the Opus ownership. 

• AutoEnginuity is a leader in advanced aftermarket vehicle diagnostics with coverage for 56 vehicle brands, including all important U.S., European and Asian brands. 

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• Their broad coverage and diagnostic depth represent an interesting growth potential for Opus IVS. 

• In 2019, AutoEnginuity had revenues of approximately USD 4 million (approximately SEK 37 million) with EBITDA (adjusted for non-recurring items) of approximately USD 2.3 million (approximately SEK 22 million). 

• In 2020, the AutoEnginuity acquisition is estimated to increase Opus’ EBITA by >5%. Cash Flow in 2020 will be negatively affected by approximately SEK 70 million. 

• The closing payment of $10 million is financed through existing cash within Opus Group. 

• This acquisition brings the total Opus IVS offices to 7, with U.S. locations in New York, Michigan, California, North Carolina and Arizona; and others in the UK and Australia. 

“We are excited about the acquisition of AutoEnginuity due to the company’s status as a leader in multi-brand advanced automotive diagnostics and it being widely used in the U.S. collision scanning market. We see a great fit with our existing products and services in the Opus IVS division. Building on Autologic’s European diagnostics technology and support services, Opus IVS can now expand its products and services lineup to cover all brands within the US market,” said Lothar Geilen, CEO of Opus. “I want to express a warm welcome to the employees at AutoEnginuity. We are looking forward to having the AutoEnginuity employees become a part of the Opus family.”

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“As Opus IVS continues to expand its products and coverage into new markets, AutoEnginuity will allow greater vehicle coverage and support for more diagnostic platforms. By adding the AutoEnginuity diagnostic coverage to our DrivePro platform, Opus IVS repair customers will soon have more capability. Leveraging AutoEnginuity diagnostic coverage will solidify the DriveCrash platform as a technology leader for the U.S. collision scanning industry,” Brian Herron, president of the Opus IVS division stated.

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