A.P. Eagers has acquired a huge stake in fellow automotive company Automotive Holdings Group.
The company bought a 16.33% stake in AHG for around $90 million and a scrip offer of 10 193 381 shares in A.P. Eagers for the sellers the Wheatley Family, which were AHG's founding shareholder.
According to the company, this investment will give it exposure to the West Australian market, where A.P. Eagers currently does not have a footprint.
Regarding the investment, A.P Eagers CEO Martin Ward said that "on becoming aware of the opportunity to acquire a substantial holding in AHG, the APE board determined that this represented an investment in an industry we understand and where we can add significant value".