Inchcape buys remaining stake of its St Petersburg business

LONDON (Thomson Financial) -- Car distributor and retailer Inchcape said it has bought the remaining 24.9 percent stake in its St Petersburg business from its joint venture partner, Olimp Group, for $54.8 million in cash.
Inchcape acquired 75.1 percent of Olimp group"s Toyota/Lexus business in the city for 34.5 million pounds sterling in August 2006, and it followed this in October 2007 by buying a 75.1 percent stake for 19.1 million pounds sterling in two further Olimp group companies: OTS, an Audi retail business, and Concord, a Peugeot retail business.
The five retail centers sold a combined volume of 8,850 new vehicles in 2007. Inchcape CEO Andre Lacroix said the deal is in line with its strategy of developing a scale position in Russia. "The group will be progressing with the expansion of this exciting business, including an investment in the development of two new sites in St Petersburg for Toyota and Lexus," he said.