July 29, 2013
Penske Automotive Group, Inc. said Monday it has signed a $200 million agreement to acquire Western Star Trucks Australia – a distributor of commercial vehicles, related spare parts and aftermarket support across Australia and New Zealand and portions of Southeast Asia – from Transpacific Industries Group Limited.
The group primarily distributes heavy and medium-duty trucks for Western Star, MAN and Dennis Eagle through a network of more than 80 independent dealers.
“Western Star Trucks provides us with an attractive gateway to enhance our global business profile,” said Penske Automotive Group Chairman Roger S. Penske. “Strong market dynamics, multiple growth options and one of the largest and well-established dealer networks in Australia and New Zealand enhance the business opportunity. We believe that our existing relationships with heavy and medium-duty truck manufacturers and our experience in operating distribution and dealership-related businesses provide us with a unique opportunity to expand our business while potentially providing a steppingstone to Southeast Asian markets for other parts of our business.”
The transaction is expected close by September.