Automotive Holdings Group (AHE)

Shares / Stock Code

AHE

Stock Exchange / Sharemarket

ax

Automotive Holdings Group (AHE) is in the business of automotive retailing and logistics in Australia and New Zealand, operating more than 100 dealership franchise sites. AHE is the largest automotive retailer in Australia with strong presence in Western Australia, New South Wales and Queensland. It listed on the ASX on 3 November, 2005 and to date it employs more than 3,500 staff across Australia and New Zealand. AHG comprises two divisions: Automotive Retail and Logistics. Automotive Retail operates from 106 franchise sites which represent 27 manufacturers. Its Logistics segment is engaged in the warehousing and distribution of automotive parts, refrigerated transport, cold storage and distribution, vehicle storage, and engineering and motorcycle distribution. In 2006, AHE acquired the business of McGrath Lander Group based in Sydney. It completed the acquisition of the Zupps Group in Queensland in 2007. The Company also operates the Prestige Hino truck dealership in Dandenong, Victoria and Syndey City Hyundai. On June 2, 2008, AHG purchased a New South Wales’ Nissan sales and service dealership, the Liverpool Nissan from WSA (Liverpool) Pty Ltd. On June 1, 2008, AHG completed the takeover of Allpike Peugeot and Citroen, a Western Australian Peugeot and Citroen sales and service dealership. At present, the Company’s portfolio comprises 86 Dealerships, from four Australian States and New Zealand. The Group’s franchises include 9 out of the top 10 major Australian automotive brands by sales volume, offering a level of protection against changes in consumer choices. The Group derives it revenue through the sale of new and used cars, finance and insurance, service and parts.

Automotive Holdings Group History

Automotive Holdings Group’s origins can be traced back to 1952 when City Motors was created as a Holden Dealership in Perth. City Motors Holdings Ltd floated on the Perth Stock Exchange in 1955. In 1962, City Motors Holdings Ltd launched its second Holden Dealership, North City Holden. In 1979, AHG entered into logistics business by acquiring AMCAP, one of Western Australia’s largest automotive parts distribution centres. City Motors Holdings Ltd was privatised in 1980 through a management buyout and it acquired Rand Transport in 1986, which is now a national logistics operation engaged in the provision of refrigerated transport, cold storage and local distribution services. Throughout the 1980s and 1990s, the Company had been focused on acquiring a portfolio of Dealerships offering leading automotive brands as well as developing multiple income streams within individual Dealerships. The Company was granted the Australian distribution rights for prestigious Austrian motorcycle manufacturer KTM Sportmotorcycles in 1994. The Company underwent restructuring on 31 March 2005, which included the parting of its core automotive retailing and logistics businesses that now form AHG from the property assets; and changes to the capital structure of the Company. AHG listed on the ASX on 3 November 2005.