Constellation Buys 20% of Lookers

BCA-owner Constellation has bought a 19.9% share in the franchised dealer group Lookers. The majority of shares were purchased from Tony Bramall, who stepped down as a non-executive director at Lookers in December 2020.

The 78 million share purchase was carried out at 102p a share. Shares in Lookers ended last week at 88.6p, up 22.6% on the week before. At 102p Lookers would be valued at approximately £400m.

Constellation, which also owns Cinch and We Buy Any Car, is also in the middle of a takeover of Marshalls, as we reported last December.

In a statement from Lookers, agreed with Constellation Automotive Group, a spokesman said: “Constellation has been in contact with Lookers about its investment in the Group and has indicated its support for the Group’s recently outlined strategy and senior leadership.”

Ian Bull, chairman of Lookers, added: “We are delighted to welcome Constellation as a significant shareholder of the group. Their investment endorses the board’s view that the group remains significantly undervalued. As outlined in our recent announcement, trading performance is strong, with an excellent new car order bank and the group has a clear strategic framework to deliver our aspiration to become ‘The UK’s leading integrated automotive retail and services group’.”