Sytner Group has added a trio of BMW and Mini dealerships with the acquisition of Stevenage-based Specialist Automobiles.
The transfer takes the AM100’s prime automobile retail group by turnover to 18 BMW and Mini franchised areas, with new websites added in Stevenage, Luton and Tring.
Based within the Seventies, Specialist Automobiles has a workforce of over 300 workers and has been owned by Clive Fletcher and Michael Donovan since an MBO in 1999.
Fletcher and Donovan will each retire from the sector following the sale of the enterprise to Sytner.
Fletcher stated: “We have now had an incredible journey with BMW/Mini and our implausible staff. Handing the enterprise over to a number one automotive group similar to Sytner, provides us full confidence that it’s going to proceed to develop and flourish, and we want all of them one of the best.”
In its monetary yr to December 31, 2021, Specialist Automobiles delivered a 26.1% rise in turnover, to £112.1 million, alongside a 33.5% improve in revenue earlier than tax, to £1.99m, in keeping with accounts filed with Firms Home.
Sytner chief govt Darren Edwards stated: “We’re delighted to have accomplished the acquisition of those properly revered and lengthy standing companies which function from wonderful services.
“In addition to considerably strengthening the dimensions and depth of our relationship with the BMW and MINI manufacturers, this buy additionally permits us to broaden the Sytner Group’s geographic footprint on this necessary market.
“I might significantly wish to welcome round 300 new colleagues to the group who I stay up for assembly and to working with within the coming weeks.”
David Kendrick, head of Automotive at UHY Hacker Younger, suggested the shareholders of Specialist Automobiles on the deal.
Specialist Automobiles have been additionally suggested by Caroline Litchfield at Brabners, with Sytner suggested by John Gallon at DLA Piper.
Kendrick stated: “The Sytner Group is without doubt one of the most profitable and largest automobile retail companies within the nation and represents over 20 of probably the most prestigious automobile producers within the luxurious and efficiency sector.
“This acquisition matches in completely with their current portfolio and once more demonstrates additional consolidation throughout the sector. I’m certain this received’t be the final deal of this nature in 2022 primarily based on what we’re seeing.”
Final week AM reported on the findings of UHY’s newly-published Automotive Outlook 2022 report.
The report concluded that the UK’s massive automobile retail teams and PLCs can be joined by worldwide buyers and disruptors similar to Cazoo and Constellation Automotive in what is probably going be a file yr for mergers and acquisitions.
Latest high-profile M&A exercise has seen Pendragon appeal to takeover curiosity from main shareholder Hedin Group, whereas UHY famous Marshall’s acquisition of Motorline and Constellation Automotive’s subsequent shift into franchised automobile retail by means of a bid to accumulate the PLC alongside a 19% stake in Lookers as latest high-profile offers.
Commenting on the potential for an extra acceleration in M&A exercise in 2022, UHY’s report said: “We envisage deal numbers will attain the best ranges seen through the previous decade.”