United kingdom seller group Pendragon claimed on Monday it was no longer checking out merger talks with rival Lookers, just after a media report over the weekend claimed that Lookers rejected its strategy.
The coronavirus shutdowns have taken a toll on sellers, which have been previously battling with a slide in desire and a squeeze on margins in the earlier year under the body weight of Britain’s long-drawn exit from the European Union.
Lookers, which has seen a management shakeup in the earlier handful of months, is undergoing a fraud investigation into its operating divisions just after an first probe uncovered misstatements in its harmony sheet and fraudulent cost statements.
Sky Information had described that Pendragon approached Lookers about a probable merger very last month, but Lookers rejected the strategy.
Pendragon declined to comment on whether or not it was checking out other this sort of combinations.
Lookers is Europe’s third-biggest dealership group by revenue, according to Automotive Information Europe‘s 2019 Tutorial to Europe’s Most significant Dealers. It has 164 new-motor vehicle franchise points in the United kingdom. Pendragon is No. four with 177 new-motor vehicle franchise points.