Cardiff International Inc. entered into a letter of intent to acquire Ride Today Acceptance LLC.
The acquisition is subject to completion of an independent audit.
Beverly, Mass.-based Ride Today Acceptance — a subsidiary of Encompass Consulting LLC — began making loans for new and used on-road and off-road powersports vehicles in April 2015.
Nearing its two-year anniversary, Ride Today has been building up its financial infrastructure and expanding its dealer footprint. The lender ended 2016 with a portfolio of more than $7 million, and losses of less than 1.6%, according to an 8-K filed with the Securities and Exchange Commission yesterday.
Subprime motorcycle financing is a risky business that most lenders shy away from, but Ride Today utilizes its years of dealer experience to find success and help capture marketshare, Managing Director Ben Donnarumma told Powersports Finance in an interview at the lender’s headquarters in August.
Donnarumma and his colleagues at Ride Today have operated motorcycle and auto dealerships since 1993, up until recent months when they shifted their focus solely on motorcycle financing, according to Donnarumma.
Fort Lauderdale, Fla.-based Cardiff International is a public holding company focused on the acquisition of undervalued companies with high-growth potential, according to a press release. The acquisition of Ride Today will be Cardiff’s foray into powersports. Its current segments include Repicci’s Italian Ice & Gelato, Romeo’s NY Pizza, Mission Tuition LLC, and Affordable Housing Initiative, among others.
Ride Today Acceptance declined to comment on this story.