Lookers eyes BMW
LOOKERS is eyeing up a deal to start selling BMW cars such as the Mini as accelerating sales help it drive up profit forecasts.
The car dealer said BMW was a “hole” in its present portfolio of 122 franchises.
“We have a strong balance sheet to pursue strategic opportunities,” said chief executive Peter Jones. “BMW is a great business and the Mini is a great and popular car and we will wait for the right opportunity. We are also looking for car parts deals.”
Lookers said a strong third quarter had been driven by new car sales performing above the general UK market rise of 7.8 per cent. Prestige brands such as Jaguar and Mercedes-Benz did well as did Volkswagens and Fords.
“It’s an interesting economy,” said Jones. “There are unemployment worries on one hand but low interest rates on the other. Our wide range of cars on offer helps us.”
Used car sales were up 8 per cent as people returned to the category following the ending of the car scrappage scheme in March. After-sales revenues rose 2 per cent.
Jones also dismissed reports of a takeover bid. The shares were unchanged.