Group 1 Automotive Acquires Nine Franchises in the U.K.
Group 1 Automotive (NYSE: GPI) announced its acquisition of nine dealerships in East Anglia, U.K., enhancing its relationship with the Volkswagen Group.
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Rhea-AI Summary
Group 1 Automotive (NYSE: GPI) announced its acquisition of nine dealerships in East Anglia, U.K., enhancing its relationship with the Volkswagen Group. The acquisition includes dealerships for major brands such as Audi and Citroen, expected to generate $300M in annual revenue. This expansion increases Group 1's U.K. footprint to 55 locations with 75 franchises across 14 brands. CEO Earl Hesterberg expressed confidence in the growth potential from this acquisition.
Positive
- Acquisition expected to generate approximately $300M in annual revenue.
- Expansion increases U.K. operations to 55 locations with 75 franchises.
- Strengthens relationship with the Volkswagen Group.
Negative
- None.
Details
News Market Reaction – GPI
The recorded move for GPI in the trading session of this news was -6.16%.
Data tracked by StockTitan Argus. Session date unavailable.
AI-generated analysis. How Rhea-AI works. Not financial advice.
HOUSTON, July 6, 2021 /PRNewswire/ -- Group 1 Automotive, Inc. (NYSE: GPI), ("Group 1" or the "Company"), an international, Fortune 500 automotive retailer, today announced the expansion of its U.K. operations with the acquisition of nine businesses northeast of London, primarily in the region of East Anglia. These operations represent the family of brands offered by the Volkswagen Group, along with one Citroen dealership with major locations in the cities of Norwich, Peterborough, Lowestoft and Ipswich. The dealerships are being acquired from the Robinsons Motor Group, which previously sold five Mercedes dealerships to the Company in 2018.
The total annual revenue expected from this acquisition is approximately
Group 1's President and Chief Executive Officer Earl Hesterberg stated, "We are pleased to further expand our strong relationship with the Volkswagen Group in the U.K. Our previous experience in these market areas has been very positive and we are confident that these businesses will contribute further growth to our U.K. operation."
ABOUT GROUP 1 AUTOMOTIVE, INC.
Group 1 owns and operates 188 automotive dealerships, 242 franchises, and 48 collision centers in the United States, the United Kingdom and Brazil that offer 32 brands of automobiles. Through its dealerships, the Company sells new and used cars and light trucks; arranges related vehicle financing; sells service contracts; provides automotive maintenance and repair services; and sells vehicle parts.
Investors please visit group1corp.com, group1auto.com, group1collision.com, acceleride.com, facebook.com/group1auto, and twitter.com/group1auto, where Group 1 discloses additional information about the Company, its business, and its results of operations.
Investor contacts:
Sheila Roth
Manager, Investor Relations
Group 1 Automotive, Inc.
713-647-5741 | sroth@group1auto.com
Media contacts:
Pete DeLongchamps
Senior Vice President, Manufacturer Relations, Financial Services and Public Affairs
Group 1 Automotive, Inc.
713-647-5770 | pdelongchamps@group1auto.com
or
Clint Woods
Pierpont Communications, Inc.
713-627-2223 | cwoods@piercom.com
View original content:https://www.prnewswire.com/news-releases/group-1-automotive-acquires-nine-franchises-in-the-uk-301325673.html
SOURCE Group 1 Automotive, Inc.
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