Auto Trader, the UK’s largest automotive marketplace, has today agreed to acquire the share capital of Autorama, subject to regulatory approvals, one of the UK’s largest transactional marketplaces for leasing new vehicles.
Autorama has become one of the leading platforms for aggregating leasing deals from multiple funders and OEMs (under its “Vanarama” brand). Vanarama has existing partnership with OEMs, funders, and retailers and has successfully sold over 120,000 vehicles to date. Combined with Auto Trader, this presents clear opportunities to expand these partnerships, and to create new ones.
The acquisition will transform Auto Trader’s existing leasing proposition and help to meet the demands of the growing number of consumers who might consider leasing their next new vehicle. In turn, it will enable Vanarama to accelerate its recent expansion, beyond light commercial vehicles, into cars by accessing Auto Trader’s brand. There is a large structural opportunity for a new car leasing marketplace driven by the growth in electric vehicles, new manufacturers entering the UK market, lower take up of company car schemes and a shift towards new digital distribution models. Leasing provides consumers a cost-effective way to access a new car with a model that is consistent with any future move toward usership.
Nathan Coe, Chief Executive Officer of Auto Trader, said: “To ensure we have the greatest choice of cars to buy online, we could not ignore the growing demand for leasing deals. In Vanarama, we have found an industry leading leasing platform that delivers a great consumer experience and significant sales for its partners. This acquisition will strengthen our existing leasing business and will enable us to offer both the biggest choice of vehicles and a seamless digital experience from search to sale. I am delighted to be welcoming Andy and his team to the Group.”
Andy Alderson, Chief Executive Officer at Vanarama, said: “As the leading aggregator of leasing deals online, we have sold over 120,000 vehicles for our manufacturer, retailer and lease company partners. Over the last few years we have invested significantly in our technical capability to help our partners respond to consumer demand for a digital buying experience. We are hugely excited about the prospect of being able to accelerate our growth plans and deliver even more value to our partners as part of the Auto Trader Group.”
Completion of the transaction will be subject to market clearance.
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About Auto Trader
Auto Trader Group plc is the UK and Ireland's largest digital automotive marketplace. Our marketplace sits at the heart of the vehicle buying process, with the largest number of car buyers and the largest choice of trusted stock. Auto Trader exists to grow both its car buying audience and core advertising business. It will change how the UK shops for cars by providing the best online car buying experience, enabling all retailers to sell online. We aim to build stronger partnerships with our customers, use our voice and influence to drive more environmentally friendly vehicle choices and create an inclusive and diverse culture. Auto Trader listed on the London Stock Exchange in March 2015 and is now a member of the FTSE 100 Index.
For more information, please visit http://about-us.autotrader.co.uk
About Autorama (“Vanarama” brand)
Founded in 2004, Autorama has become one of the leading platforms for aggregating leasing deals from multiple funders and OEMs (under its “Vanarama” brand). Vanarama was established by CEO Andy Alderson in 2004 and employs more than 240 people from its headquarters in Hertfordshire and remotely across the country. Through its easy-to-use site – vanarama.com – the brand currently leases more than 51,000 vehicles to over 40,000 customers across the UK. Vanarama’s success has been driven by putting customer experience at the heart of all its activities. Investing heavily in industry-leading technology and customer service has been a major part of its formula for growth. In 2021, Vanarama was awarded seven gold awards at the UKCX Awards in recognition of its digital transformation, online customer experience and commitment to putting its customers and employees first during the Covid pandemic. Vanarama is also proud title sponsors of The National League, which is England’s popular fifth tier of football.
For more information, please visit https://www.vanarama.com/