Pendragon sale to net company over £200m

Nottingham headquartered motor retailer Pendragon has outlined plans to dispose of its US arm and reduce the number of franchises in its UK new car business.

Pendragon said its premium brand franchise locations will be reduced over a three year period.

The company also said it has appointed an automotive adviser to sell its US motor group.

Pendragon says that these measures will net the company over £200m.

In a further move, Pendragon said it has instructed an executive search company to recruit a senior executive to lead its UK used car operations.

Trevor Finn, Chief Executive, says: “Following our strategic review, we have focussed on reshaping the business to accelerate transformation and ensure capital allocation is optimised across the group.

“The actions I am announcing today are a further step towards achieving our strategic objectives.

“I believe this strategy will provide more reliable and sustainable returns.”