THE Optimus Group, a global automotive investment company listed on the Tokyo Stock Exchange, and fresh from absorbing its recent purchase of the Autopact dealer group, has wasted no time into now entering into an agreement to acquire 100 per cent of the shares of the Autocare Services business from LINX Cargo Care Group.

The purchase price was $44 million for 75,505 shares.

Autocare Services has been one of Australia’s largest integrated logistics providers to the automotive industry for more than 60 years. The company, with 600 employees at the time, was placed into voluntary administration in February 2021. It was removed from administration by July 2021. 

Negotiations to acquire Autocare began last October and the sale is expected to be completed by April 1. 

Autocare’s bright red and yellow car transporters are a familiar sight delivering vehicles to dealerships across Australia. 

Apart from vehicle transport, it also provides vehicle storage and import processing for some of Australia’s largest OEMs, automotive dealerships, rental and fleet providers and other customers across the entire automotive industry.

Autocare Services also provides ancillary services to the industry covering quarantine services including transport, cleaning and compliance, along with freight forwarding and customs broking, new vehicle pre-delivery and accessory fitments and numerous dealer services for the delivery of new vehicles to retail and fleet customers across Australia.

Optimus Group said the purchase was part of its diversification strategy and was a significant milestone for the Group as it swings its focus away from used car imports.

It said in a statement that the purchase would reinforce its commitment to expanding the group’s business portfolio and enhancing their capabilities in the automotive logistics sectors throughout Australia. 

“Autocare Services, a highly reputable and established business in the automotive logistics industry, brings a wealth of expertise, a strong customer base, and a talented team to the Optimus Group family,” the statement said.

The purchase follows hard on the heels of the acquisition of Garry Crick’s Autopact Group, one of Australia’s largest privately-owned automotive dealership groups with 28 dealerships, 35 franchises and 100 dealer agreements (because sites are multi franchise). Optimus plans to add more dealerships to Autopact as the opportunities arise.

Within Australia, Optimus also has a 30 per cent stake in used car retailer Ozcar which has 20 sites and a 60 per cent stake in the Melbourne-based Blue Flag automotive data services business.

Optimus has a 100 per cent stake in Dolphin Shipping which has about 35 per cent market share of the used car trade from Japan to Australia doing 500 to 900 cars a month into Australia. It also has a 30 per cent stake in Car Empire, which is a warehouse-style used car operation located on the Gold Coast that deals only in imports.

Optimus also recently announced the acquisition of a controlling interest in the digital online automotive sales platform, AutoTrader New Zealand. 

Darren Bowler

Darren Bowler, who is to be appointed executive director of Autocare Services, said Optimus Group Autocare Services expertise would be integrated into the groups’ operations “to better serve our current and future business partners across the entire automotive supply chain”.

“We are thrilled about the acquisition of Autocare Services from LINX Cargo Care Group,” he said. 

“This strategic move aligns with our vision to grow and diversify Optimus Group. Autocare Services is Australia’s most extensive, fully integrated vehicle logistics solutions provider, and has over sixty years of delivering exceptional services in the Australian automotive industry. 

On the other side of the agreement, Optimus Group will leverage its resources and industry knowledge to invest further into enhancing the capabilities and service offerings of Autocare Services. 

“It is anticipated to bring synergies that will drive operational efficiencies and enable the Group to deliver an enhanced range of value-added services to Autocare’s customers in the automotive industry.”

The president of Optimus Group Company Nobuya Yamanaka said: “Optimus Group operates a global business model in the automotive sector with operations spread across Japan, New Zealand and Australia offering a full range of end-to-end automotive solutions.  

“This acquisition clearly demonstrates Optimus Group’s dedication to expanding its presence and delivering innovative solutions to meet the evolving needs of the automotive industries within Australia”.

Footnote: 

Optimus Group is a global automotive business headquartered in Tokyo, Japan. The Group has automotive sector investments in Japan, Australia and New Zealand covering trading, logistics, inspection, and services as well as automotive data offerings to industry and new and used vehicle retailing.