Cambria seek £50m AIM listing to fund growth

Thursday, 18 March 2010

Cambria Automobiles Holdings, the acquisitive dealer group, is seeking an AIM listing, in a strategic move to grow the business with a £50m initial public offering.

Cambria is owned by Promethean, the listed private equity business, and is rated at 44 in the Motor Trader Top 200.

AIM listing
The dealer group expects to be admitted to AIM, the London Stock Exchange's junior listing, on 1 April.

Promethean will retain 33.3 per cent of Cambria's shares and has agreed not to sell any of its shares for 30 months after admission. During this period Promethean will continue to have non-executive directors on the board of Cambria.

Cambria will issue 100 million share at 50p a share.

Natuaral step
Promethean said the introduction of Cambria to AIM represents a "natural step in the development of Cambria and will ensure that it is well positioned to continue its growth. The introduction has been supported and managed by Promethean and Cambria together".

"The introduction of Cambria to AIM is a great success for Cambria in its ongoing development as a major UK motor dealer group. The introduction offers Cambria the opportunity to continue the growth that it has demonstrated since its incorporation," said
Sir Peter Burt, Promethean's chairman.

Higher profile
Mark Lavery, the chief executive of Cambria said the listing would raise the group's profile.

"We are very pleased to be coming to AIM, a move which we believe will raise the public profile of Cambria and will mean that Cambria is well positioned to grow and to have access to development capital should it be required. We will be working hard to continue to grow the group over the coming years and believe that we are well positioned to deliver that growth."

Cambria background
Cambria was formed to purchase car dealerships with a strategy of improving their operational performance and creating a significant motor dealership group. Promethean initially invested in Cambria in July 2006 and further investments were made in 2007. Cambria has made seven acquisitions over the past three and a half years, including Caledonia and Summit, which has increased the total number of franchise outlets to 37 and increased the Cambria group's annualised turnover to around £350m.

The group trades under Grange Motors, Dees, Doves and Invicta.