Keighley Acquisition

RNS Number : 4212V

Vertu Motors PLC

14 January 2013

 



14 January 2013                                               

Vertu Motors plc ("Vertu" or "the Group")

Acquisition of Vauxhall Outlet in Keighley, Yorkshire

Vertu Motors plc, the fast growing automotive retailer with a network of 93 sales and aftersales outlets across the UK, is pleased to announce that it has acquired the business and certain assets of the Vauxhall outlet in Keighley which has been operated by Walter C Brigg.  As part of the transaction Vertu has acquired a 15 year lease on the dealership property. The total estimated consideration is £1.1m, including £0.1m of goodwill. The consideration will be settled in cash from the existing resources of the Group. 

This well established business will further extend Vertu's presence in the North of England linking with the Group's recently acquired Vauxhall dealership in Harrogate.  Following the acquisition, and the acquisition of Carlisle Vauxhall on 8 January 2013, the Group now has 14 Vauxhall outlets.

For the year ended 30 September 2012 the statutory accounts of the acquired business showed a turnover of £8.2m and an operating profit of £0.1m.

Robert Forrester, CEO of Vertu Motors plc said:

"2013 has started with two acquisitions for the Group following on from a very strong period of growth in 2012.  The acquired Keighley business increases the number of outlets in Yorkshire to six as we seek to grow scale in the region.  Our newly acquired businesses will be integrated into the Vertu business to drive increased profitability and to generate shareholder value."

For further information please contact:

Vertu Motors plc
Robert Forrester, CEO	Tel: [phone]
Michael Sherwin, FD	Tel: [phone]
Panmure Gordon (UK) Limited
Hugh Morgan	Tel: [phone]
Callum Stewart Adam Pollock
Espirito Santo Investment Bank
Peter Tracey Jamie Richards	Tel: [phone]
FTI Consulting
Josephine Corbett	Tel: [phone]

Notes to Editors

Vertu Motors is a fast growing automotive retailer with a network of 93 sales and aftersales outlets across the UK.  Its dealerships operate predominantly under the Bristol Street Motors, Vertu Honda and Macklin Motors brand names. Manufacturer partners are Alfa Romeo, Citroen, Fiat, Ford, Honda, Hyundai, Iveco, Mazda, Mitsubishi, Nissan, Peugeot, Renault, SEAT, Suzuki and Vauxhall.

Vertu Motors was established in November 2006 and listed on AIM on December 2006, with the strategy to consolidate the UK motor retail sector. It is intended that the Group will continue to acquire motor retail operations to grow a scaled dealership group. The Group's acquisition strategy is supplemented by a focused organic growth strategy to drive operational efficiencies through its national dealership network.

The Group currently operates 92 franchised sales outlets and 1 non-franchised sales operation from 76 locations across the UK.

Vertu Motors group websites - www.vertumotors.com / www.vertucareers.com

Vertu Motors brand websites - www.bristolstreet.co.uk / www.vertuhonda.com / www.motornation.co.uk / www.macklinmotors.co.uk

 

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