Manheim’s Brazil growth plan includes acquisition & partnership with 6 companies

São Paulo, Brazil. Photo by Thiago Leite/

Manheim’s presence in one of the BRIC nations became more robust this month with a long-term commitment in Brazil.

Cox Automotive announced that Manheim acquired Pacto São Paulo along with developing commercial partnerships with six other auction companies to invest in the local marketplace.

Manheim highlighted that Pacto São Paulo is located approximately 250 kilometers, or 155 miles, from the São Paulo metro region in the city of Ibaté. The auction began operations as Manheim facility on July 3 with chief executive officer Daniel Nunes Romero heading up the new venture that’s also set to include a heavy investment in technology.

Besides the acquisition of Pacto São Paulo, Manheim is part of a commercial and technological partnership with Pacto North and Northeast as well as Leilomaster. In the coming years, Cox Automotive highlighted that Manheim technology will be implemented into local businesses, meaning they will use the same level of facilities as Manheim’s existing auction centers in Guarulhos and its newest auction in Ibaté.

Manheim will work with six additional auction centers as part of the partnership in order to boost the logistics and support networks in Brazil. Manaus, Belém, Fortaleza, Goiânia, Brasília and Salvador will be opened in August.

Romero explained that making the sales clearer is the main goal of this acquisition.

“Brazil is one of the only countries with a particular regulation in the auction sector, but we are way below the USA and Europe on sales of used cars, with just 8 percent of them made through auction,” Romero said. “This is due to a lack of information provided, and we are set to change that by combining our local expertise with Manheim technology.”

The vehicle inspection process developed by Manheim in Brazil will be introduced to Pacto, bringing new technology to Brazil’s vehicle remarketing sector and expanding the use of 360-degree imagery in the market. This system forms part of a rigorous inspection process with photos, vehicle details, demonstration of damages and extensive information to assist the purchase decision.

Romero has a strong name in the Brazilian auction market, with more than 14 years’ experience at Pacto North and Northeast. He will work alongside Marcelo Valland, chief operating officer and official auctioneer of Manheim, who has more than 20 years of experience in the industry.

The partners will also work together on Leilomaster, an auction company from Goiânia state.

Extensive knowledge of local markets led Manheim to choose the executives who would lead the business expansion in Brazil.

“We looked for a partner who knew the local culture and was ready to transform the whole local market, applying our technologies and services to physical and online auctions, which represent 55 percent of the sales here,” said Nuno Castel-Branco, international business director from Cox Automotive.


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