REG - Inchcape PLC - Inchcape expands its distribution footprint

InchcapeAnnouncement

07/12/2021 07:00

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RNS Number : 7406U  Inchcape PLC  07 December 2021

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 (mailto: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 (mailto: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 (http://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.

 

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