Ride Today Acceptance Rebrands, Post $5MM Cardiff Acquisition


Pictured, from left, are American Cycle Finance’s (formerly Ride Today Acceptance) National Sales Manager Jason Sheeley; Ben Donnarumma, Managing Director; and Richard Snyder, Director of Underwriting. (Photo by American Cycle Finance)

Cardiff International Inc. signed a definitive merger agreement to acquire American Cycle Finance — formerly known as Ride Today Acceptance — as its subsidiary, in an all-stock transaction valued at $5 million.

The name change is just part of “our strategic planning,” Ben Donnarumma, managing director of American Cycle, told Powersports Finance. “We are marketing ourselves under American Cycle Finance, so that we are not confused with any other finance companies.”

A dealer-owned lender aggregator, for example, shares a similar name to Ride Today Acceptance — Ride Today Financial Corp.

Following the acquisition, Cardiff’s total assets will increase to $13 million, according to a company press release.

Powersports Finance first reported on the acquisition in February, following the filing of an 8-K with the Securities and Exchange Commission. The acquisition is expected to close within 60 days, Donnarumma said.

Marlborough, Mass.-based American Cycle Finance began making loans for powersports vehicles in 2015. The lender ended 2016 with a portfolio of more than $7 million, losses of less than 1.6%, and a revenue of $1.3 million.

“American Cycle founders and senior management believes it’s in their best interest to become part of Cardiff, which provides them the financial platform to double their business over the next 12 months — projecting their 2017 portfolio close to $12 million,” Alex Cunningham, Cardiff’s president and chief executive, said in the release. “We have a strong track record of execution and our collective teams are positioned to complete this integration flawlessly.”

American Cycle Finance logo
American Cycle has spent the last two years building a financial infrastructure and expanding its dealer footprint. As of today, American Cycle has 208 dealers nationwide, Donnarumma said.

After the transaction is completed, the founders have executed retention agreements and will continue in their leadership roles with American Cycle as a subsidiary of Cardiff, according to the release. The acquisition is subject to completion of an independent audit.

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 American Cycle 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.

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