AP Eagers to fully own AHG

AP Eagers Limited has begun the process to compulsorily acquire all remaining Automotive Holdings Group shares.

The move initiated on Monday will make AP Eagers the largest dealership business in Australia with shy of 230 dealerships sites, including 200 car dealerships in Australia, 13 in New Zealand and 67 truck and bus sites.

Having gained approval for the divestment of Klosters Motor Group in the Hunter Valley and Newcastle region by the competition regulator earlier this year, the $2.3 billion merger acquisition gave AP Eagers the more than 90% ownership needed for the compulsory acquisition.

The takeover means AHG shares will be suspended from ASX trading from the close of trading on Tuesday September 24, and it’s expected AHG will be removed from the official stock exchange listing as of Friday September 27.

AHG managing director John McConnell, who joined the business in late August 2016 as chief executive officer, was announced as leaving the company on Septmber 30, coinciding with the AP Eagers acquisition announcement.

AP Eagers managing director Martin Ward will assume executive responsibilities of the merged Automotive Holdings Group and AP Eagers.