11:54 am, November 17, 2015
MARSHALL Motor Holdings has announced the biggest deal in its history with the purchase of the long-established South London dealer group SG Smith.
The £24.4m deal is the first by Marshall as a listed PLC and restates its established strategy of expanding geographically within England with its existing portfolio of brands.
Talking to Car Dealer, group chief executive Daksh Gupta summarised Marshall’s approach as ‘more depth, less width’. He added: ‘This was a rare opportunity to acquire a very well run and established business that punches above its weight in a highly attractive area.’
Family-run SG Smith was founded in 1938, and operated as a new and used car dealer group with brand partners Audi in Wimbledon, Coulsdon, Bexley and Beckenham, Skoda in Croydon, and Mercedes-Benz commercial after sales also in Croydon. Recent figures showed revenues last year of £177.4m with a pre-tax profit of £3m.
Announcing the deal, Gupta said: ‘We are delighted to have acquired this long established, family-run business and I am particularly pleased to welcome our new colleagues to the group.
‘The acquisition is in line with our stated strategy to grow scale with existing brand partners and expand our geographic footprint. The business is a good cultural fit for the group and we are delighted to be significantly growing our relationship with Audi, strengthening our Skoda representation and extending our partnership with Mercedes Benz in commercial vehicles.’
SG Smith MD Robert Smith said: ‘After over 70 years, it was important to our family to find a good home for our business and our people. The acquisition brings together two long standing organisations with a rich history in automotive retail. I would like to thank the entire SGS team and wish them well with Marshall Motors over the coming years.’
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