Autosports Group has entered into an agreement to acquire the Stillwell Motor Group (which includes the BMW, BMW Motorrad, Mini, Volvo, MG, and Ducati brands in Victoria) for about $55 million.
Completion is expected in October 2024, says Autosports Group.
The Stillwell Motor Group business will be held by Autosports Group’s wholly owned subsidiary ASG Investment Holdings Pty Ltd.
The Stillwell Motor Group is a family-owned business founded in 1949.
The purchase consideration consists of $45 million for goodwill and about $10 million for net tangible assets, plant and equipment, says Autosports Group.
The seller of the Stillwell Motor Group can elect to receive up to 15% of the purchase consideration in the form of ASG shares to be issued at a price of $2.09.
The cash portion of the purchase consideration will be funded by cash and new and existing debt facilities.
“The Stillwell Motor Group could not be more perfectly aligned to Autosports Group’s luxury brand and major metropolitan market growth strategy,” says Autosports Group chief executive Nick Pagent.
“With the brands of BMW, BMW Motorrad, Mini, Volvo, MG and Ducati covering four Victorian locations and contributing in excess of $345 million in annualised revenue the acquisition is expected to add, on completion, approximately 13% to Autosports Group’s annualised revenues.
“We thank the Stillwell family, BMW Group and Volvo Cars for their goodwill and support through the transaction.”
Stillwell Motor Group directors Marianne Stillwell and Chris Stillwell say: “In our 75th year of direct ownership and operation of franchised motor vehicle and motorcycle dealerships, we are gratified to see our multi-award-winning dealerships join forces with Autosports Group Limited, a company which recognises our legacy and is well positioned to drive future growth for the businesses.
“We would like to acknowledge our extraordinary staff who have served our customers and our long-term brand partners BMW Group and Volvo Cars with distinction,” they say.
”Completion is scheduled for October 2024 and is conditional upon satisfaction of certain conditions precedent, including obtaining consents from the relevant motor vehicle manufacturers.”
