Peter Warren's Toyota assets consolidation easier after Sutton stake buy - MS

Peter Warren Automotive Holdings

15/09/2022 02:20

** Sydney-based car dealership Suttons Motors buying a stake
in Peter Warren Automotive Holdings Ltd  PWR.AX  "removes a
(significant) hurdle" to consolidating Peter Warren Toyota
assets into co, says Morgan Stanley
    ** Motor vehicle dealer Peter Warren's Toyota assets are
owned by the Peter Warren family, which is PWR's majority
stakeholder
    ** Suttons Motors bought Quadrant Private Equity's 9.1%
stake in PWR (https://bit.ly/3xoVv8N)
    ** MS says if Toyota assets' consolidation into PWR were to
occur, it would be quality and earnings accretive, and open more
M&A opportunities
    ** MS rates PWR "overweight" and has a price target of
A$3.10
    ** Six of six analysts rate the stock "buy" or higher, none
"hold" and none "sell" or lower; their median PT is A$3.33 –
Refinitiv data
    ** Stock has risen 2% this year as of last close 

    

 (Reporting by Echha Jain in Bengaluru)
 ((Echha.jain@thomsonreuters.com))