5 Apr 2016 07:00
5 April 2016
MARSHALL MOTOR HOLDINGS PLC
("MMH" or the "Group")
Disposal of three dealerships
Marshall Motor Holdings plc, one of the UK's leading automotive retail and leasing groups, today announces the disposal of two Toyota dealerships and one Nissan dealership.
The Group has disposed of its two Toyota dealerships at Peterborough and Kings Lynn for a cash consideration of c£2.0m to Steven Eagell Limited, the UKs largest independent solus Toyota dealer.
The Group has also disposed of its Nissan dealership at Bury St Edmunds for a cash consideration of c£1.1m to A W & D Hammond Limited. The Group continues to own and operate its Nissan market area in Lincolnshire represented in Grantham, Lincoln and Boston.
In 2015 these dealerships contributed £32m in revenues and combined operating losses of £0.2m. The transactions together are expected to give rise to a small one-off loss on disposal.
Daksh Gupta, Group Chief Executive commented:
"The Group is committed to ongoing portfolio management to support both our acquisition and organic growth strategies. Since 2008 we have now exited some 28 non-core, sub-scale or loss-making businesses and over that period have added 58 franchises. The disposals announced today are in line with the Group's strategy of driving class leading returns and supporting its brand partners' market area strategies. We will continue to grow with our existing brand partners and our strong balance sheet will facilitate further organic and acquisition related growth in new regions.
"I would like to thank my colleagues in Peterborough, Kings Lynn and Bury St Edmunds for all their support over recent years and wish them and the new business owners much success in the future."
For further information and enquiries please contact:
Marshall Motor Holdings plc | c/o Hudson Sandler Tel: +44 (0) 20 7796 4133 |
Daksh Gupta, Group Chief Executive |
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Mark Raban, CFO |
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Investec Bank plc (NOMAD & Broker) | Tel: +44 (0) 20 7597 4000 |
Christopher Baird |
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David Flin |
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David Anderson |
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Hudson Sandler | Tel: +44 (0) 20 7796 4133 |
Nick Lyon |
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Alex Brennan |
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About Marshall Motor Holdings plc (www.mmhplc.com)
The Group's principal activities are the sale and repair of new and used vehicles through Marshall Motor Group and the leasing of vehicles through Marshall Leasing. The Group's businesses are integrated and include a total of 73 franchises covering 23 brands, operating from 66 sites across 19 counties in England. Its diverse portfolio means it represents manufacturer brands whose combined share of all new vehicle sales in the UK gives the Group the highest market coverage of any UK dealer group. In addition, the Group operates three trade parts businesses, two used car centres, two stand-alone bodyshops and a petrol forecourt.
With revenues of £1.2bn in 2015, the Group is the tenth largest dealer group in the UK.
In May 2015 the Group was recognised by the Great Place to Work Institute, being ranked the 26th best place to work in the UK (large company category).
Cautionary statement
This announcement contains unaudited information based on management accounts and forward-looking statements that are based on current expectations or beliefs, as well as assumptions about future events. These forward-looking statements can be identified by the fact that they do not relate only to historical or current facts and undue reliance should not be placed on any such statements because they speak only as at the date of this document and are subject to known and unknown risks and uncertainties and can be affected by other factors that could cause actual results, and MMH's plans and objectives, to differ materially from those expressed or implied in the forward-looking statements. MMH undertakes no obligation to revise or update any forward-looking statement contained within this announcement, regardless of whether those statements are affected as a result of new information, future events or otherwise, save as required by law and regulations.