On Tuesday morning Houston, Texas - based Group 1 Automotive, Inc. (GPI) announced the acquisition of England -based Chandlers Garage Holdings Ltd that includes three BMW/Mini dealership in the UK. The financial aspects of the deal were not disclosed.
Group 1 expects that the six franchises would generate around $180 million or GBP 91.5 million in annual revenues. Further, the company noted that the dealerships strategically located in Brighton, Worthing and Hailsham in southeastern England would retain the Chandlers name. BMW and Mini brands have nearly 25% of shares in UK automotive luxury segment, Group 1 said.
In order to streamline the acquisition, the company will keep the Chandlers Garage management team intact. Ian Twinley, who have 25 years experience as automotive executive would be the reporting officer for the Garage management. Twinley would report directly to Earl Hesterberg, President and Chief Executive Officer of Group 1. Commenting on the transaction, Hesterberg said, This acquisition gives us the opportunity to expand our holdings into a strong demographic area of a proven market, with a powerful global automotive luxury brand. The Chandlers brand name has a strong image within the local market and the competent, experienced management team will be a great addition to our company.
GPI is currently trading at $44.98, up 1.36 or 3.12% on a volume of 387K shares.
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