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Halfords buys Nationwide Autocentres as first step towards more than 400 repair and MOT stations nationally
Halfords today announced the acquisition of Nationwide Autocentres , the car servicing and repair operator, with 224 outlets nationally, for a cash consideration of £73.2million. Nationwide will be re-branded as Halfords Autocentres and it is intended to roll-out a further 200 centres, funding the programme from cash flow.
Halfords said it remains on track to deliver current year profit before tax, excluding the post acquisition results from Nationwide, in line with market expectations. It expects the Nationwide deal to add 6% to it's earnings in the next year. Notwithstanding this deal Halfords will end the present year with net debt of £165 million.
Commenting, David Wild, Chief Executive of Halfords said:
"Our expansion into the adjacent car servicing and repair market is an exciting and logical move for Halfords. Car maintenance is a large and highly attractive sector where there is increasing demand from motorists for reliable service at affordable prices. Nationwide is a high quality business and represents an opportunity for significant growth.
We have grown strongly in this market through the provision of expert advice and our "wefit" services, and Halfords Autocentres will complement our retail business closely. Customers trust the Halfords brand and we are sure that a national chain offering great service and MOTs at fair prices will be both popular and successful."
Halfords said it remains on track to deliver current year profit before tax, excluding the post acquisition results from Nationwide, in line with market expectations. It expects the Nationwide deal to add 6% to it's earnings in the next year. Notwithstanding this deal Halfords will end the present year with net debt of £165 million.
Commenting, David Wild, Chief Executive of Halfords said:
"Our expansion into the adjacent car servicing and repair market is an exciting and logical move for Halfords. Car maintenance is a large and highly attractive sector where there is increasing demand from motorists for reliable service at affordable prices. Nationwide is a high quality business and represents an opportunity for significant growth.
We have grown strongly in this market through the provision of expert advice and our "wefit" services, and Halfords Autocentres will complement our retail business closely. Customers trust the Halfords brand and we are sure that a national chain offering great service and MOTs at fair prices will be both popular and successful."
Thu, 18th Feb 2010