The deal covers 38 franchised dealerships, trading as Dutton-Forshaw and Dovercourt in England and Wales and as Savilles Auto Village in Northern Ireland.
Representing 14 volume and prestige manufacturers and with principal mainland territories in the North-east, London, Essex, North-west and South-west, the group's annual turnover was reported as £499.1m.
Maurice Rourke, who has held senior posts with Inchcape, DaimlerChrysler and Autologic Holdings, has been appointed managing director.
The acquisition will enable Lloyds TSB to sell a proportion of the 70,000 used vehicles it currently disposes of each year through auctions. The company says the arrangement and will also provide an additional channel for sourcing new cars for its contract hire operation and banking customers.