Vertu Motors buys Gordon Lamb for £18.7 millionStaff writer ▼ | June 2, 2016
Vertu Motors has acquired the entire issued share capital of Gordon Lamb Group Limited and its subsidiaries, including Gordon Lamb Limited, for £18.7m in cash which has been settled from the Group’s existing cash resources.
Auto dealership Gordon Lamb operates the Toyota, Land Rover, Skoda and Nissan
The acquisition brings Toyota to the Group, further progressing the Group’s strategic goal of growing its range of franchises. The transaction includes goodwill of £8.3m and brings freehold properties valued at £7.5m into the Group.
The acquisition is an important development for the Group and is in line with the strategy set out at the time of the capital raise in March 2016.
The acquisition increases the number of outlets operated by the Group in Derbyshire from 10 to 14 and hence further provides synergies around marketing and management. The acquisition of Nissan in Chesterfield, for example, creates a market area for Nissan including Derby, Ilkeston and Sheffield and brings the total number of Nissan outlets the Group operates to 11.
For the year ended 31 December 2015, Gordon Lamb achieved consolidated revenues of £85.8m, adjusted EBITDA of £2.9m, adjusted PBT of £2.7m and had net assets of £10.2m as at December 31, 2015. The board expects this acquisition to be earnings enhancing in its first full year of ownership. ■