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AUTORAMA, which owns Vanarama, has been acquired by Auto Trader in a deal reportedly worth up to £200 million, subject to regulatory approvals.
Vanarama is a platform for aggregating leasing deals from multiple funders and OEMs and has sold more than 120,000 vehicles to date. Auto Trader said the aquisition will give it the platform the opportunity for further growth, building on its existing partnerships, and help it meet the demands of the growing number of consumers who are turning t0 leasing.
Vanarama will also be able to accelerate its expansion, beyond vans and into cars by plugging in to Auto Trader’s brand. In a statement, 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.”
Auto Trader sees opportunities in the new car leasing marketplace driven by the growth in electric vehicles, new manufacturers entering the UK market, employees opting out of company car schemes and new digital distribution models.
Vanarama uses its own software to aggregate the market’s best leasing deals, presenting them in an easy to use, consumer-friendly online search. The website attracts up to a million visits a month and offers a contactless process that speedily completes a deal. It also offers full fleet management, supplying businesses with vehicles, insurance telematics, driver training and compliance services.
Vanarama Chief Executive Andy Alderson said: ““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.”