Vertu revs up with Land Rover deal

A CAR dealership in Bury selling Land Rovers has changed hands for £7m.

Vertu Motors, the North East-based group has bought ther business from a subsidiary of listed rival Pendragon and will operate it under its Farnell brand.

It said the deal not only strengthens its presence with a popular brand in the region, but it would be “immediately accretive” to profits.

For the year ended December 2014,  Bury Land Rover showed revenue of £41m and EBITDA of £1.5m.

The acquisition complements Vertu’s existing Land Rover dealerships in Nelson, Lancashire and across West Yorkshire and further extends the Farnell brand.  The Group already operates the Jaguar franchise in the same territory with a Farnell branded dealership in Bolton.  

Vertu said it had also acquired a Jaguar dealership in Bradford for £900,000.

Chief executive Robert Forrester,  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.  This 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.”

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