International car retail group Inchcape plc has announced that it has bought a controlling stake in top ten Russian retailer, Musa Motors.
Its 75.1 per cent stake in Musa cost Inchcape an initial $200m (£100.3m), with a potential additional consideration based on Musa’s performance in 2008. Musa concentrates its activities on the premium segment, operating 16 franchised retail centres in and around Moscow for BMW, MINI, Jaguar, Land Rover, Volvo, Chrysler, Jeep, Dodge, Rolls-Royce and Renault, with a Rolls-Royce showroom in St Petersburg.
Inchcape already has a foothold in Russia thanks to its JV with the Independence Group of Companies to sell Toyota vehicles.
Inchcape’s group chief executive, André Lacroix commented: “The transaction, which is in-line with our strategy of expansion in emerging markets, together with our existing businesses in St Petersburg, provides us with a strong springboard for regional roll-out in Russia. We will leverage our strong local management and market understanding, our global OEM relationships and our unique global retail model.
“The group retains significant capacity to make further acquisitions in international markets.”
Motor Finance Issue: 43 – May 08 by Jo Tacon , Published for the web: May 27 08 9:57 Last Updated: May 27 08 9:59