A South African fleet management company Super Group has acquired Ford dealer, Allen Ford, for a sum £33.9m.

The acquisition also includes a call option to purchase eight properties from the Camden Companies.

About 70% of both deals will be financed by a financial institution. Super Group will settle the balance from cash.

"Super Group’s strategy over the past five years has been to make selective acquisitions in its core businesses namely supply chain, fleet management and dealerships in South Africa and internationally," said Super Group.

"The acquisition of Allen Ford is in line with this strategy and represents an opportunity for the group to build a dealership business in the third largest car market in the world.

"The group has had a policy of owning dealership properties in strategic locations in South Africa. The purchase of the properties in the UK is in line with this policy."

Allen Ford operates 13 franchised Ford motor dealerships and two franchised Kia motor dealerships in England.

The group said it expected to conclude the Allen Ford deal around December 1, if regulatory authorities approve. The property acquisition is expected to be completed shortly afterwards.

The purchaser is Super Group (UK Investments) Limited, a wholly owned subsidiary of Bluefin Investments Limited, a Super Group Company. Both Super Group (UK Investments) Limited and Bluefin Investments Limited are registered in Mauritius.

The purchase price for the Allen Ford acquisition is £33.9m, of which £23.8m will be financed by a Mauritian based financial institution.

Super Group will settle the balance of £10.1m plus costs of the Allen Ford acquisition from cash resources.

The purchase price of the properties acquisition, assuming that the sale option is exercised in respect of all eight of the properties, is £18.4m, of which between 60% and 70% will be financed by a UK based financial institution.

Super Group will settle the balance plus costs of the properties acquisition from cash resources.

The net asset value of the Allen Ford acquisition will be approximately £9.5m.

The profit after taxation associated with these assets is £5.4m.

The value of the properties acquisition is £19.8m.

The profit after taxation associated with the properties is £0.15m.

> CHA (2005) Limited, holds 100% of the shares in Charles H. Allen Limited (CHA), which in turn holds 78.28% of the shares of Allen Ford (UK) Limited Allen Ford.