Not Just Tire Kicking: Lookers Buys UK Renault Auto Dealer Franchise

LONDON January 13, 2003; Dow Jones reported that Lookers PLC Monday said it has acquired the Renault franchise for south Manchester and central Cheshire with the purchase of Jackson & Edwards Ltd. for an undisclosed sum.

The Jackson & Edwards businesses comprise two existing Renault dealerships in Altrincham, south Manchester and Northwich, Cheshire and also a successful Renault car rental business. At completion, Jackson & Edwards had net assets of approximately GBP1.5 million.

The new acquisition takes the total number of Renault dealerships in Lookers to 13, making the group one of the largest Renault dealers in the U.K. The two new dealerships are expected to add around GBP15 million to annual turnover and are expected to sell around 1,200 new cars a year.

The company also said it has now successfully completed the redemption of its 13,888,940 8% cumulative redeemable preference shares of GBP1 each, The redemption is earnings enhancing and will add an additional GBP600,000 at current interest rates to shareholders' funds each year.