Solera To Buy Stake In Online Vehicle Exchange

SAN DIEGO (AP) — Solera Holdings Inc., an auto insurance software provider, said Thursday that it's buying 85 percent of a fleet and salvage vehicle Web site for $85 million in cash, or 59.5 million euros.

Solera has the right to purchase the remainder of AUTOonline for 10 times AUTOonline's earnings before interest, taxes, depreciation and amortization in its latest fiscal year.

AUTOonline's site lets users buy and sell salvage and fleet vehicles. It has operations in Germany, Poland, Turkey, France, Spain, Greece and Mexico.

Sellers include insurance companies that list their salvage vehicles and buyers include dealerships.

The acquisition of AUTOonline GmbH Informationssyteme, a unit of DEKRA Automobil GmbH, is expected to lower fiscal 2010 earnings by 6 cents per share, excluding any savings that might arise from the combination. But it should add 2 cents per share to adjusted profits, excluding one-time items.

As for 2011 earnings, the company said the purchase is not expected to have a material impact. On an adjusted basis, the deal should boost profits.

For 2009, AUTOonline's revenue is estimated at $25.9 million, or 18.1 million euros.

Shares of San Diego-based Solera were up 27 cents to $27.80 in morning trading.