CAP Automotive has acquired Derwent Management Services (DMS) for an undisclosed sum.
The acquisition was made to strengthen the quality and breadth of CAP’s data and services to fleets, manufacturers and consumers, as well as give the business a foothold in mainland Europe.
DMS is a provider of performance monitoring, risk management and benchmarking information, focused on the automotive sectors of the UK, the Netherlands and Belgium. It has also recently established a presence in France.
The acquisition is described as “a natural fit” by CAP CEO Ian Rendle and will bring new data assets into CAP’s portfolio.
CAP and DMS already both serve many of the same customers among manufacturers and fleets.
DMS’s service, maintenance and repair (SMR) data will strengthen CAP’s Gold Book forecasting system and feed into its consumer-facing ‘Total Cost of Motoring’ tool.
Derwent Management Services is based in Ludlow, Shropshire, from where its full team will continue to operate as an arm of CAP Automotive under the leadership of managing director Keith Darby, who will report to Rendle.
DMS founder and chairman Andrew Abbott will retire from the business following the acquisition.
Rendle said: “This is one of the most logical and significant moments in CAP’s history and it represents a major step forward in our growth ambitions.
“The acquisition of Derwent Management Services maximises the synergies that already exist between two businesses whose top-flight data already works brilliantly together in systems across our industry and they are a natural fit for us.
“We are already enjoying accelerated growth in the quality, depth and breadth of our data prducts and have successfully redefined and launched the CAP Consulting division.
“It is particularly exciting to have secured a route into several mainland European markets. Many of our customers are pan-European and CAP has long held the ambition to serve them outside the confines of the UK, wherever we can bring insight, value and commercial advantage. Now we have the opportunity to do that.
“But first we will be focused on the integration of DMS into CAP Automotive, ensuring continuity and a business-as-usual sense for all customers.
“Behind the scenes, however, there will be some very interesting and powerful product developments and enhancements in the pipeline as we seek to create maximum impact and value to our customers from this acquisition.”
Darby said: “We already know each other’s customers well and we have worked together with CAP since day one, so the proposition of weaving our business into CAP Automotive is compelling.
“Strategically this acquisition also fits the ambitions of the team in Ludlow because we have constantly striven over the last 10 years to move beyond benchmarking toward bigger data provision.
“The direction we have taken has therefore created increasing similarities with CAP and the time is now right to bring all our strengths together.”