Last checked at 7 Dec 2021 07:00
7 December 2021
Inchcape expands its distribution footprint into the Caribbean
Inchcape plc, ("Inchcape" or "the Group"), the leading independent global automotive distributor, announces an agreement to acquire Interamericana Trading Corporation (ITC) and Simpson Motors from the Simpson Group.
The deal will expand Inchcape's global footprint with entry into the Caribbean, further building on its presence in the Americas. It will also strengthen the Group's geographic reach with Suzuki, Mercedes-Benz and Subaru, and broaden its OEM relationships, with the addition of Chrysler to its list of brand partners.
The acquired businesses are expected to add c.£120m of annualised revenue, and will be accretive to Group margins. The transaction remains subject to customary conditions, including receipt of local regulatory approvals, with completion anticipated in H1 2022.
Duncan Tait, Group CEO of Inchcape, commented:
"We are pleased to announce an agreement to further expand our distribution footprint in the Americas, with entry into the Caribbean. This acquisition is a good example of our Accelerate strategy in action; leveraging our global distribution leadership to expand into new markets with both existing and new OEM partners.
As we detailed at our Capital Markets Day, automotive distribution is highly fragmented, and there is a huge landscape of opportunity for Inchcape to drive consolidation. The combination of our leading global position, our digital and data capabilities, and our strong financial position, means we are well-placed to accelerate our growth ambition."
Contacts
Inchcape plc: | |||
Raghav Gupta-Chaudhary | Investor queries | +44 (0)7933 395 158 | investors@inchcape.com |
Finn Lawrence | Media queries | +44 (0)7467 445 748 | |
Media enquiries: Instinctif Partners |
| ||
Tim McCall | +44 (0)20 7457 2020 | inchcape@instinctif.com |
About Inchcape
Inchcape is the leading independent global automotive distributor, operating in 36 markets with a portfolio of the world's leading automotive brands. Inchcape has diversified multi-channel revenue streams including sale of new and used vehicles, parts, service, finance and insurance. The Company has been listed on the London Stock Exchange (INCH) since 1958, and as of 2020 it has been classified within the 'Business Support Services' sector. The Group is headquartered in London and employs around 15,000 people globally. www.inchcape.com.
About ITC and Simpson Motors
ITC is a leading independent distributor in the Caribbean region, with distribution to over 30 territories - including Jamaica, Guadeloupe, Trinidad and Tobago and Martinique. It distributes vehicles for Suzuki, Mercedes-Benz and Chrysler via a network of c.50 dealers - the majority of which are independent.
Simpson Motors is the leading automotive retailer in Barbados. It operates a vertically integrated business from one large site on the island, distributing passenger vehicles for Suzuki, Mercedes-Benz, Chrysler and Subaru, as well as commercial vehicles for Isuzu, Fuso, JBC, Bobcat and John Deere.
ITC and Simpson Motors are both currently subsidiaries of the Simpson Group.