Home
Distressed Businesses
  • All Distressed Businessess
  • Administrations
  • Liquidations
  • Winding Up
  • Insolvency Advice  New
Buy a Business
  • All Businesses for Sale
  • Find a Business for Sale
  • Raising Business Finance
  • Buyer Acquisition Service   New
  • Escrow Service   New
Sell a Business
  • Sell Your Business
  • List your Business
  • Seller Accounts
  • Need Help Selling?
  • Help With Finance New
  • Business Valuation
  • Business Wanted Adverts
Insights & News
  • View All News
  • View All Insights
  • Exclusive Insights New
Lens
  • Search all UK Companies  New
Log in
Join Now

Home / News / Auto Trader completes acquisition of Autorama at nearly 16x gross profits

Auto Trader completes acquisition of Autorama at nearly 16x gross profits

Thu, 23 Jun 2022 | BUSINESS SALE



Auto Trader has completed the acquisition of new vehicle leasing platform Autorama, in a deal that could rise to £200 million. An initial consideration of £150 million was paid upon completion, with an additional £50 million deferred consideration, which is subject to certain performance conditions.

If the full £200 million was to be paid, this would represent slightly over a 15.8x multiple of Autorama’s gross profits of £12.6 million for the year ending December 31 2020, generated on turnover of £63.7 million. In those results, the company reported a post-tax loss of £8.1 million.

Autorama, which trades as Vanarama, was founded in 2004 by Andy Alderson (pictured above) as a used vehicle dealer, before moving in to B2B commercial vehicle leasing in 2007. The company has gone on to become one of the UK’s leading lease dealers, selling more than 120,000 vehicles so far.

The company’s digital platform aggregates leasing deals from a range of funders and OEMs (original equipment manufacturers). Auto Trader says that acquiring Autorama will help it to “establish itself as a leading marketplace for leasing new cars”.

Auto Trader adds that the leasing market “is set to benefit from the growth of electric cars, new manufacturers entering the UK market, lower take up of company car schemes and a shift towards new digital distribution models".

Post-acquisition, Auto Trader says it expects Autorama to generate net revenues of between £18 million and £21 million for the remainder of the financial year. However, it expects the business to register an operating loss of around £5 million to £7 million.

Commenting on the acquisition, Auto Trader CEO Nathan Coe said: “We are pleased to have completed the acquisition of Autorama, which will transform our leasing proposition and help us meet growing consumer demand to lease, rather than own, new cars.”

“The combination of Auto Trader’s large consumer audience with Autorama’s digital platform and operational capability complements our strategy to bring more of the car buying journey online.”


Read more about the factors spurring M&A in the automotive sector.

Find businesses for sale here.

If you are looking for an exit, we can help!.


Share this article



Latest Businesses for Sale

Retailer Operating a Variety of Stores and E-commerce Platforms
North West, UK

Provides a range of contemporary furniture, lighting, home accessories and gifts through its e-commerce platforms and brick-and-mortar stores. Operates three stores, and one distribution hub, in premium locations across two major cities in the North...

Asking Price: Offers Invited
Turnover: £4,300,000

FREEHOLD


Independent Personalised Card and Giftware Retailer
South of England, UK

Specialises in the manufacture and sale of hand-crafted and stylish personalised greeting cards and gifts for all ages and occasions. Highly skilled and experienced workforce that enables the company to offer a dedicated and customer-focused approach...

Asking Price: Offers Invited
Turnover: £663,000

RELOCATABLE


Motor Specialist Suppliers
Billingham, County Durham, North East, UK

Established Over 30 Years. Excellent Google Customer Reviews. Potential to Increase Turnover. Well stocked with Products. Top Quality Service & Great Prices. Offers invited.

Asking Price: £870,000
Turnover: £940,080

FREEHOLD



View more businesses for sale

News Search

Latest News

 
04
 
Jul
 

10 tips to maximise valuations when selling websites | BUSINESS NEWS

Flipping websites can be a highly profitable business model....

 
04
 
Jul
 

Businesses using M&A to respond to global uncertainty | BUSINESS NEWS

CEOs in the UK are increasingly using M&A activity as a way ...

 
01
 
Jul
 

Appreciate Group acquires gift card company | BUSINESS SALE

Gifting and engagement company, Appreciate Group has acquire...

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide

Email


Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources

Become a Member

News Categories

  • - Business Sale
  • - Division Sale
  • - Administration
  • - MBO/MBI
  • - Merger
  • - Commercial Property

View all news


About Us

Business Sale Report is the UK's leading independent business for sale & distressed business listing service. Established in 1995, the report offers an up-to-the-minute, comprehensive overview of businesses for sale, latest distressed business listings and daily acquisition news.

Our Services

Businesses for Sale
Distressed Companies
List a Business
Help with Finance
Buyer Acquisition Service
Small Businesses for Sale

Company

About Us
Insights
News
FAQs
Reviews
Terms & Conditions
Privacy Policy

Get In Touch

020 8875 0200
[email protected]
167 Oakhill Road, London, SW15 2QW
Working hours: Mon-Fri, 9am - 5:30pm


Sign up to our free newsletter



© 1995-2022. Business Sale Report Ltd. All rights reserved. www.business-sale.com.