Penske Automotive To Acquire UK Retailer Of Used Vehicles CarShop

Penske Automotive Group said Friday it has reached an agreement to acquire CarShop, a U.K. retailer of used vehicles for an undisclosed sum. Penske said it expects the deal to add 7 cents to 9 cents to per-share earnings and generate $340 million in revenue on an annualized basis. CarShop has five large-scale retail locations in Cardiff, Swindon, Northampton, Norwich and Doncaster, as well as a 15-acre vehicle preparation center in Leighton Buzzard, a town in Bedfordshire. The deal is expected to close in the first quarter. Penske shares were not yet active in premarket trade, but have gained 41.8% in the last 12 months, while the S&P 500 has gained about 14%.

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