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RRG plans to add German brands and grow territory

RRG is considering expansion outside its north west heartland as it looks to double in size over the next three years.

The strategy was announced as RRG celebrates its 45th anniversary.

RRG currently has six franchises at 20 sales centres and 600 staff across the north west, selling brands Toyota, Peugeot, Lexus, Mazda, Suzuki and Kia.

It aims to double its number of dealerships and grow annual turnover from £323 million (2010 accounts) to £500m.

RRG plans to move into other brands and will target dealerships within an hour's drive of Manchester.

Each new dealership adds around 30 staff to the group.

Joint managing director Tony Cliff told the Manchester Evening News: “At the moment we are very reliant on Japanese brands and we would like to diversify, although our main partners will always be Toyota and Lexus.

“We would like to add German marques to the stable and would like to do more business with Peugeot.

“Primarily, we are looking at businesses within an hour of Manchester. That could include Yorkshire, Liverpool, Warrington and Stoke.

“But if a business is further afield and is the right fit for RRG, we would also look at it.

RRG, based in Salford, was acquired by Japan's Marubeni Corporation in November 2000.

Joint managing director Arran Bangham said: “Acquisitions will consist of good profit-making businesses in keeping with our north west regional focus to create further growth opportunities as well as portfolio balance."

RRG's financial performance demonstrating its strong position to take the acquisition/expansion trail. Source: AMi

RRG location map demonstrating its north west focus. Source: AMi

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