Published: 30-01-2020 08:18

Stern Groep N.V., the Dutch listed automotive group, and Hedin Automotive AB, a large Scandinavian automotive group, today announce that they are in exclusive discussions on merging their respective automotive operations. The combination of Stern and Hedin Automotive will have strong complementarity in terms of geographic focus and brands. In addition, the combined group will be very well positioned to play a leading role in the expected ongoing consolidation of automotive retailers in the Eurozone.

The automotive industry faces numerous trends and developments which will eventually have great impact on the mobility of individuals and the way they are used to purchase and use cars. This requires automotive retailers all over Europe to reconsider their value to customers and rethink their current business model. To find the right answer to these developments, automotive retailers are looking for new knowledge and complementary competencies. Moreover the car market is becoming an international market. Stern and Hedin Automotive believe that joining forces is the best way forward.

At this stage there can be no assurance that the merger will materialise. After the merger, the combination intends to retain and use the Euronext Amsterdam listing as a platform for further growth. The Boards of Stern will carefully evaluate the combination and will take the interests of all stakeholders into full consideration.

Further announcements will be made if and when circumstances so require. Stern has appointed ING Corporate Finance as financial advisor and Van Doorne as legal advisor to assist in this process.