mynth
06/2023

LOOKERS acquired by GLOBAL AUTO HOLDINGS

UNITED KINGDOM Automotive / Retail & Services / Dealerships EV 500M - 1.5b GBP

Context

Global Auto Holdings Ltd. (GAHL), an affiliate sharing ownership with Toronto-based Alpha Auto Group (AAG), has completed the acquisition of Lookers PLC through a court-sanctioned scheme of arrangement. Following initial shareholder resistance over the summer, GAHL raised its cash offer per share to secure investor approval. The transaction takes the target private and marks its delisting from the London Stock Exchange. The operational perimeter encompasses a workforce of approximately 6,500 employees and an infrastructure network of 147 franchise dealerships across the United Kingdom and Ireland. The transaction marks AAG’s entry into the European automotive retail market. Prior to the acquisition, AAG's geographic footprint was limited to 15 large-scale vehicle dealerships across Canada and the United States. By acquiring Lookers, the group absorbs an established, century-old distributor of new and used vehicles, light vans, and aftermarket services. The post-closing industrial thesis focuses on geographic diversification and expanding global market share, positioning the combined entity to leverage Lookers' existing platform amidst broader consolidation within the British automotive retail sector.

LOOKERS, which reported an EBITDA margin of LOGIN in 2023, is valued in this transaction at an EV/EBITDA multiple of LOGIN, a level LOGIN than the average currently observed in the Industry & Manufacturing sector (11.6x).

Note that this data is based on contribution from our growing community, composed of M&A and Private Equity professionals, and has been verified by our team to ensure its accuracy.

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Target

Lookers PLC is a British automotive retail company founded in 1908, operating through a network of 147 franchise dealerships in the UK and Ireland, offering new and used vehicles, as well as aftermarket services such as maintenance and repair, with an extensive presence in the UK automotive market, providing a varied range of vehicle brands and models, and benefiting from a solid reputation for customer service and sales quality, with a team of over 6,500 employees dedicated to delivering an exceptional vehicle buying and ownership experience, and which has undergone a rich and evolutionary history, transitioning from a bicycle retailer to a major player in the automotive market, with a stock exchange presence since 1973, but which is now preparing to come under private control, which should enable it to pursue its growth and development strategy in a context of increased competition and regulatory changes in the automotive sector.

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Historical Financials (GBP)

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REFERENCES

Valuation range: EV 500M - 1.5b GBP

Revenue range: 2.5b - 5b GBP

EBITDA range: 100M - 200M GBP

Note: This page provides detailed data on a private equity M&A transaction. Detailed and exact financial metrics for the acquisition of LOOKERS by GLOBAL AUTO HOLDINGS are reserved for mynth community members. Register for free to unlock full data.

Authors: verified mynth contributor (mynth data is contributed by M&A / PE professionals and systematically cross-verified with private deal documents and official press releases).

Target: lookers

Acquirer: global auto holdings