The acquisition of Southwell Motor Company on June 25, 2004 and its subsidiary company Leadley Limited, adds four businesses in Derby, Nottingham, Loughborough and Mansfield to Inchcape’s portfolio.
On June 30, 2004 Leadley Limited will acquire an additional dealership in Leicester, which will increase the total number of dealerships purchased to five. These sites are together expected to generate new car sales of 2,700 units and used car sales of 1,800 units per annum.
The total price for the new acquisitions is expected to be around £28m of which £15m is for the equity of Southwell Motor Company and £3m for assumed debt. The remainder is for the Leicester business and two freehold properties.
Inchcape stated: “This year has started much better than expected and our financial performance is well ahead of 2003. Whilst growth will not continue at this level in the second half we are confident of a strong performance in 2004.”