{"id":109,"date":"2022-08-10T16:52:21","date_gmt":"2022-08-10T16:52:21","guid":{"rendered":"https:\/\/www.autobuyersmarket.com\/news\/?p=109"},"modified":"2025-05-05T10:24:31","modified_gmt":"2025-05-05T10:24:31","slug":"shift-technologies-announces-all-stock-merger-with-used-vehicle-vendor-carlotz-transition-to-internet-based-checkout","status":"publish","type":"post","link":"https:\/\/www.autobuyersmarket.com\/news\/2022\/08\/10\/shift-technologies-announces-all-stock-merger-with-used-vehicle-vendor-carlotz-transition-to-internet-based-checkout\/","title":{"rendered":"Shift Technologies Announces All-Stock Merger with Used Vehicle Vendor CarLotz, Transition to Internet-Based Checkout"},"content":{"rendered":"\n
\"Shift
Shift will also be optimizing their inventory to more greatly accommodate \u201cValue\u201d <\/em>vehicles, which the company defines as eight years or older, or that have at least 80,000 miles on the odometer. File photo: New Africa, Shutter Stock, licensed.<\/figcaption><\/figure>\n\n\n\n

SAN FRANCISCO, CA – Shift Technologies, Inc.<\/a> a leading end-to-end ecommerce platform for buying and selling used cars,\u00a0announced Tuesday<\/a>\u00a0that they will be merging with CarLotz <\/a>\u2013 a used vehicle consignment business \u2013 in an all-stock deal.<\/p>\n\n\n\n

The new company will continue to do business under the name of Shift Technologies, and will continue to trade on Nasdaq under the ticker SFT<\/em><\/a>.<\/p>\n\n\n\n

According to the terms of the deal, the merger will combine the most effective and profitable aspects of both companies into one efficient organization. The current plan is to continue to utilize Shift\u2019s proprietary acquisition engine, technology platform, and high-profile presence in the West Coast’s used car marketplace, while building the company\u2019s position in the industry by adding CarLotz\u2019s retail locations and consignment relationships that are situated in the mid-Atlantic region.<\/p>\n\n\n\n

The combined company \u2013 once the deal closes, which is expected to take place in the fourth quarter of 2022 \u2013 is expected to be completely profitable and fully self-funded right out of the gate, and a Shift spokesperson noted that it will transition to a new business plan in order to best take advantage of the strengths of the newly-acquired assets.<\/p>\n\n\n\n

Among the upcoming changes that have been announced include a transition over to a mostly-online vehicle purchasing model, with the majority of sales taking place via Shift\u2019s internet-based checkout channel; this will allow customers to pay for vehicles remotely and arrange for pickup or delivery, all without ever having to step into a physical car lot or showroom, which may be a major draw for busy individuals looking for such a convenience.<\/p>\n\n\n\n

As a result of this change to a mainly online model, however, Shift will be eliminating the ability for customers to test-drive vehicles before purchasing them \u2013 at least temporarily \u2013 so if getting a hands-on feel for a new car before buying it is a priority for you, this may be considered a drawback.<\/p>\n\n\n\n

Shift will also be optimizing their inventory to more greatly accommodate \u201cValue\u201d <\/em>vehicles, which the company defines as eight years or older, or that have at least 80,000 miles on the odometer.<\/p>\n\n\n\n

The changes once the merger is complete will result in Shift laying off an undisclosed number of their workforce and a reduction of the company\u2019s physical presence in favor of an increased online business model, which will result in an overall more satisfying purchasing experience for customers,\u00a0according to Jeff Clementz<\/a>, Shift President and incoming CEO.<\/p>\n\n\n\n

At Shift, we\u2019ve always done a great job of enabling the customer to have their desired car-buying experience. Increasingly, we\u2019ve seen that many consumers opt for a true e-commerce offering, where they can purchase the vehicle without any in-person element,\u201d he said. \u201cFocusing on this sales channel not only caters to consumer demand, but is also significantly more profitable in terms of unit economics. I\u2019m extremely confident that the team we have in place is well positioned to execute on this revised business strategy, and I look forward to bringing the Shift and CarLotz teams together once we complete the merger later this year.\u201d<\/em><\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"

SAN FRANCISCO, CA – Shift Technologies, Inc. a leading end-to-end ecommerce platform for buying and selling used cars,\u00a0announced Tuesday\u00a0that they will be merging with CarLotz \u2013 a used vehicle consignment business \u2013 in an all-stock deal. The new company will continue to do business under the name of Shift Technologies, and will continue to trade […]<\/p>\n","protected":false},"author":4,"featured_media":110,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[3],"tags":[],"class_list":["post-109","post","type-post","status-publish","format-standard","has-post-thumbnail","category-market-updates","entry"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\n\t\t\n