Part of the MotorMania chain, which was recently put up for sale by owner Richard Hartley, has been bought by Tetrosyl.
11 stores from the original 17-strong chain have been purchased by the car care and oils manufacturer. The stores will now be added to the growing Motor-World chain which is also owned by Tetrosyl.
The company says the acquisition has secured 50 jobs in the MotorMania chain and will add an estimated Â£5 million to the group’s annual turnover.
The deal, concluded last night, takes the number of Tetrosyl-owned stores to almost 100 including four freehold properties. Tetrosyl wouldn’t comment on the sale price of the chain, only saying that it had been for an: “undisclosed sum.”
CAT reported in April that the MotorMania chain was seeking a buyer, with owner Richard Hartley citing massive group debt as his reason for placing the sale. At the time Hartley wrote to customers: “The company needs investment and as such I feel it needs to find a new home, better able to invest.”
Tetrosyl should certainly be able to provide such an investment. Last year the group had a turnover of around Â£170 million, and now employs 1200 staff, mostly based in the UK.
Commenting on the sale Chairman of the Tetrosyl Group Peter Schofield said: “We are very pleased to announce the acquisition of MotorMania which was established over 25 years ago and whose owner we have known for many years. The management and staff are very solid and loyal to the business and we welcome them into Motor-World.”
David Bennett of appointed administrators Grant Thornton added: â€œDuring the sale process we knew MotorMania had real value to the right buyer. In what remains a tough retail environment we are very pleased to have sold the business to Tetrosyl Group, which is ideally placed to drive it forward into the future.â€