South African automotive group Motus has acquired 100% of UK-based business-to-business parts distribution business Motor Parts Direct for R3.64-billion.
The acquisition was funded using available cash and banking facilities, and is aligned to Motus’ international growth strategy for its Aftermarket Parts business.
The acquisition will further strengthen its integrated business model and reduce the group’s dependency on vehicle sales, the company says.
“Motus remains focused on deepening its competitiveness and relevance across the full automotive value chain. The acquired business is cash generative and asset light. It will provide economies of scale, procurement benefits and synergies.
"Key management have been secured and are committed to continue managing the business,” says Motus CEO Osman Arbee.
Motor Parts Direct has a network of 175 branches that supply motor vehicle parts primarily to the passenger and light commercial vehicle sector, as well as to workshops in and around the UK and Wales.
Motor Parts Direct has a customer base in excess of 14 000 customers and employs about 1 700 employees.