Sumitomo Corporation, a Japanese diversified group with more than $ 32 Bn in annual revenue has acquired Moto-Pfohe – a Bulgaria-based car dealer, insurance broker and lease provider – for approximately EUR 60 mln or 5x EBITDA.
Moto-Pfohe is the official dealer and distributor of Ford, Volvo, Jaguar and Land Rover in Bulgaria with a market share of c. 9.4%. Established in 1991, it was one of the first private car dealers in Bulgaria. The Moto-Pfohe group includes two subsidiaries: Pfohe Agency, an insurance broker, and Moto-Pfohe Leasing, a vehicle financing provider. The business of the group includes selling and servicing new and used motor vehicles, spare parts and accessories, short and long-term vehicle rentals, insurance and financing of vehicle transactions. The management of Moto Pfohe considers the acquisition an excellent opportunity for growth and further success.
The transaction is in line with Sumitomo plans to expand in the vehicle distribution sector in Central and Eastern Europe where it sees good potential for growth. For Sumitomo’s European branch, the acquisition would be the third of a Ford dealership in the region: it already owns Summit Motors, a distributor of Ford for Slovakia and Slovenia. The Japanese group also owns two automotive cable factories in Bulgaria, providing cable sets to the Volkswagen Group, among others.
The seller, Hugo Pfohe GmbH is one of the largest German car dealerships, founded in 1919. According to the press release, the structure, business and management of Moto-Pfohe would remain unchanged after the acquisition.
