carsales announces significant investment in leading Australian car finance provider
1 July 2014
Automotive classifieds and data business, carsales.com Ltd (ASX:CRZ), announced today that it has signed a binding agreement under which it will acquire a 50.1 per cent shareholding in one of the nation's leading vehicle finance providers, stratton (Stratton Finance Pty Ltd).
stratton Managing Director, Rob Chaloner, said the acquisition is a natural fit with significant potential and opportunities for growth within the business.
"We've always had a great relationship with carsales and we look forward to working together," he said. "stratton has a growing share of the automotive and related industries finance market, but we believe this investment will accelerate the opportunity available," Mr Chaloner said.
"Over the coming months, we'll work closely with the carsales team to leverage networks, develop new products and help change the way Australians finance cars," he said.
"This exciting new partnership means we can help more Australians purchase the vehicle of their choice, by offering best-fit solutions; not just the cheapest repayment, but the most suitable product and lowest overall cost," Mr Chaloner said.
carsales CEO and Managing Director Mr Greg Roebuck said stratton has been an important customer of carsales for many years and they are confident that this transaction brings together two businesses with very similar DNA and operating styles.
"stratton is a technology and online business and its core focus is helping consumers with their vehicle purchase," he said.
"We see great opportunity to introduce stratton across our range of verticals in addition to the presence it currently has in automotive. There is also significant potential in the provision of quality affordable finance and insurance products to our ever growing private-to-private-customer car marketplace," Mr Roebuck said.
Since the company's inception in 1998, stratton has experienced rapid growth and success. In 2003, the business made a strategic decision to focus on technology as a key competitive advantage and utilise the internet as its primary channel for new customer acquisition.
stratton.com.au is now one of the highest traffic generating vehicle finance websites in the country with over a million visitors per year. The business boasts a significant national presence, offering personal, small business and corporate clients a comprehensive range of finance and insurance solutions for cars, boats, commercial vehicles, business equipment, property and more.
"It's all thanks to the personalised service, high quality products and efficient online systems we pride ourselves on," Mr Chaloner said.
For more information on stratton visit the website stratton.com.au.
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