MFS Execs Offer Background on DSC Deal
Expanding more on the recent deal to buy Dealer Services Corp., Patrick Brennan, group vice president for Manheim Financial Services, told Auto Remarketing on Friday that at first, dealers and clients won’t see many changes. Business will remain as usual.
However, over time, as MFS sees where integration can work, perhaps in mobile technology and more, some changes might be rolled out. But Brennan said the management team is not looking to rush anything. The two companies will remain standalone, with DSC reporting to Brennan. He recently took over the position as group vice president for MFS.
The news that Manheim is purchasing DSC broke Thursday.
Brennan joined Manheim in 1991 as a senior accountant and has served in positions of increasing responsibility, including market vice president, Atlanta/Nashville market; vice president of operations, Canada; and assistant general manager at several Manheim operating locations.
The thinking behind this deal is broadening the lending scope, or buying deeper.
"This definitely broadens our scope of lending. A lot of the DSC auction customers are also customers of ours. And we’ll leverage this relationship," Brennan said.
"If we make changes or integration, we want to do it methodically and do it the right way. We clearly see synergies, but it will take a little bit of time and some patience. We want to do the right thing for customers," Brennan said.
Meanwhile, Kathy Decker, also of MFS, added, "By buying DSC we are making an even bigger statement that we will continue to provide capital to dealers."
When the economy tanked in 2008, credit lines became very difficult for some dealers to find. Decker noted that MFS and others stepped up to the plate to help keep these dealers in business and serve their needs.
Both executives said DSC offers a very "high-touch" model, which can be very helpful for dealers and clients who need more assistance.
"We will look forward to leverage this ‘high-touch’ interaction with the auctions as well," Decker added.
Brennan noted that while DSC is a relatively young company, the team’s experience is much deeper.
"We had ongoing discussions about this deal for an extended period of time. It’s the people and the culture the company has. It’s only seven years old, but the depth of knowledge is much deeper than that. I’m also very excited about the technology and mobile applications," he explained.
Decker and Brennan said clients of both companies will be alerted to any changes coming down the pipeline, but in the meantime, they can also go to www.usemafs.com and www.discoverdsc.com to learn more.