MANILA, Philippines – British automotive company Inchcape is expanding to the Philippines by acquiring a majority stake in CATS Group of Companies, distributor of luxury vehicles in the country.
CATS, founded by Felix Ang in 1989, is the distributor of Mercedes-Benz, Chrysler, Jeep, Dodge, and Ram in the Philippines. It is also the distributor of Jaguar and Land Rover, and a dealer for Mazda and Harley-Davidson Motorcycles.
The amount of the transaction was not disclosed, but Inchcape said the joint venture with CATS is expected to close in the second half of 2023.
The Ang family will retain 40% of CATS, with Felix Ang still part of the board and management team.
The deal expands the global distribution footprint of Inchcape, which currently has operations in 32 countries across Europe, Asia-Pacific, Africa, and South America.
“After over 30 successful years of operating independently, we believe the time is now right for CATS to take the next step in our growth journey and in Inchcape we have found the right partner to drive us forward,” Ang said.
Inchcape said the deal comes as automotive sales in the Philippines are estimated to grow to 500,000 units by 2026, with the luxury market expected to grow at an even stronger rate.
“We are very pleased to be entering the new and strategically important market of the Philippines through the acquisition of a controlling stake in CATS’ Philippine operations,” said Ruslan Kinebas, Inchcape Asia-Pacific chief executive officer.
“As the leading luxury vehicle distributor in the market, CATS has excellent OEM (original equipment manufacturer) relationships, and we look forward to working with them and the Ang family to drive the business forward,” added Kinebas. – Rappler.com