Dillon, Read & Co., a leading New York investment bank, acquired Dodge Briothers Inc. on April 30, 1925.
The money that changed hands was astounding, $146 million plus an additional $50 million given to various charities.
It was the largest sum for a car maker ever made.
Adjust for today, a cool $2.7 billion.
Dillon, Read & Co sold Dodge to Chrysler for $170 million in 1928.
Dodge Brothers, Inc. was an American automobile manufacturer founded by brothers John Francis Dodge and Horace Elgin Dodge in 1900.
They became significant in the early 1900s by supplying the Olds Motor Works and the Ford Motor Company.
In 1914, the Brothers Dodge raised $5 million by selling equity to fund their dream of building their range of motor cars.
They first produced the Dodge Model 30, lovingly known as Old Betsy.
Old Betsy was competition for the very successful Ford Model T.
They had a market advantage from their days as component suppliers and provided the bulk of the parts for the Model T.
By 1916, Dodge became the second-largest car sales company in America.
In 1920, coincidentally, both brothers died, and this hurt sales.
The brother’s wives took over the management of Dodge and decided to sell.
Hello, Dillon, Read & Co.
And the rest is history.
