European Motor Hldgs PLC
12 June 2006
EUROPEAN MOTOR HOLDINGS plc ("EMH")
ACQUISITION OF NEW DEALERSHIP
The Board of EMH is pleased to announce the acquisition on 9 June 2006 of the
business and certain assets of the St Helens Land Rover dealership of the
Hartwell group in St Helens.
The fixed assets, stocks and certain liabilities of the dealership have been
acquired for a net consideration of £0.5 million, satisfied in cash. The assets
have been acquired at valuation or book value and the consideration includes a
payment for goodwill of £0.4 million. In addition, the EMH Group has entered
into a short term lease of the dealership's existing property from the Hartwell
group.
The unaudited management accounts of the dealership for the year ended 30
November 2005 showed a profit before taxation of £142,000 on a turnover of £15.7
million.
Commenting on the acquisition, Richard Palmer, Chief Executive of EMH, said:
"This is a very good acquisition for EMH. The expansion of our Land Rover
franchises is part of our declared strategy for the Group and the location of
the new dealership also represents a good fit with our existing Land Rover
businesses in Chester and Preston and our other businesses in the North West."
Enquiries:
Richard Palmer Chief Executive
Ann Wilson Finance Director
European Motor Holdings plc 01491 413399
This information is provided by RNS
The company news service from the London Stock Exchange