Scottish dealer Arnold Clark is buying dealerships from GK Group for an undisclosed sum.
GK Group, which employs around 150 people, is selling Ford and Citroen franchises in Carlisle, Penrith and Workington, Ford, Citroen and Peugeot in Dumfries and Ford in Carlisle.
The Derbyshire-based dealer group which has nine other dealerships, said fundamental terms for the sale of the business had been agreed.
All staff will have their jobs protected under employment law.
GK Group is ranked 36 in AM100, the top 100 UK dealers. It had a turnover of £209m to December 2008.
Arnold Clark, ranked number 4 in AM100, announced in August it will create 700 new motor retail jobs.
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