Autosports Group has agreed to acquire 100% of shares in B S Stillwell Motor Group, known as the Stillwell Motor Group, for approximately $55 million.
The acquisition is expected to be finalised by October.
The Stillwell Motor Group, a family-owned business established in 1949, operates dealerships for BMW, BMW Motorrad, MINI, Volvo, MG, and Ducati in Victoria.
The agreed purchase price includes $45 million for goodwill and around $10 million for net tangible assets, plant, and equipment.
Autosports Group's CEO, Nick Pagent, highlighted the strategic alignment of the acquisition. "The Stillwell Motor Group could not be more perfectly aligned to Autosports Group’s luxury brand and major metropolitan market growth strategy.
"With the brands of BMW, BMW Motorrad, MINI, Volvo, MG, and Ducati covering 4 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," Pagent added.
Marianne Stillwell and Chris Stillwell, directors of Stillwell Motor Group, expressed their satisfaction.
"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. 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," the directors said in a statement.
The completion of the acquisition is subject to certain conditions precedent, including obtaining necessary consent from the relevant motor vehicle manufacturers.