Vertu back on acquisition trail with Hughes Group

  02 July 2018

Vertu Motors has bought Home Counties based Hughes Group for £21.8 million. The acquisition marks Vertu’s first purchase for two years.

Hughes, based around Beaconsfield, operates six outlets for franchises including Mercedes, Mercedes Benz Commercial Vehicles, Smart, Skoda, Peugeot and Jeep.

Under the terms of the purchase £12.0m was paid for net assets and £9.8m of goodwill. £1.5m of the goodwill is deferred for 12 months. The operational management of the Hughes business will remain in place following the acquisition.

Hughes’ Mercedes businesses in Beaconsfield and Aylesbury are adjacent to Vertu’s Mercedes operations in Reading, Ascot and Slough and will operate as a single market area.

Vertu expects the purchase to be earnings enhancing in its first full year of ownership.

For the year ended 31 December 2017, Hughes achieved revenues of £150m, EBITDA of £2.8m, PBT of £2.1m and had net assets of £13.7m as at 31 December 2017.


Start your free 14 day trial

Get free access to our Bulletin, Agenda & Profit for 14 days.

After 14 days we will auto bill your credit or debit card unless the order is cancelled.

As an auto retail executive you need insightful and unique industry intelligence to boost your business potential. Here’s a taste of what Auto Retail Network has to offer:

  • Get informed and boost your business potential
  • More than 1,200 fellow executives have joined us
    since launch
  • Independent, carefully crafted, unique content relevant to you and your business
  • Develop a greater awareness of market trends and opportunities
  • Access to a wide range of materials whenever, wherever and however you want it
  • Significant discounts on ARN events, reports and
    other publications