Vertu Motors drives on with Jaguar dealership acquisition

A WEST Yorkshire Jaguar dealership has changed hands in a deal worth £900,000.

Vertu Motors, the stock market listed motor dealer, has bought Bradford Jaguar from a subsidiary of Lancaster plc and will operate it under its Farnell brand. It will complement the group’s existing Land Rover dealership in the city.

Management accounts for 2014 show a loss of £150,000 on sales of £14.7m, but Vertu expects the acquisition to be earnings neutral in the current financial year and earnings enhancing thereafter.

Gateshead-based Vertu, which is the sixth largest motor dealer in the country, has 116 outlets which operate mainly under the Bristol Street Motors, Vertu, Farnell and Macklin Motors brand names.

It has also today announced the purchase of Bury Land Rover in a £7.0m deal.

Robert Forrester, chief executive of Vertu Motors, said: “Since 2013, the board has considered it strategically important to balance the group’s representation of volume franchises, with increased exposure to premium franchises.  Today’s announcement is a further step along this path with further extensions of our Farnell Land Rover and Jaguar brand.”
 
“Bury Land Rover is an earnings enhancing acquisition that will further support the profit growth of the Group in the short and medium term. Bradford Jaguar will complement our successful Land Rover operation in Bradford and will strengthen our Farnell brand in the North.”