KUALA LUMPUR: Sime Darby Motors is selling its Australia and New Zealand Sime Darby Automobiles distribution businesses which import and distribute the Peugeot, Citroen and DS brands in the two countries.
Sime Darby Motors said on Tuesday its indirect units had signed assets sale agreements with Inchcape Australia and Rick Armstrong Motor Group to dispose of the assets relating to Peugeot and Citroen businesses in the two countries.
With effect from June 1, 2017, Inchcape Australia will take over the Australian business and Rick Armstrong Motor Group, the NZ business.
Sime Darby Motors managing director Patrick McKenna said: “After careful consideration, a decision was reached to divest the Australasian distribution businesses.
“This is in line with Sime Darby Motors’ strategy to focus on the expansion of its retail car and commercial truck footprints on both sides of the Tasman. Once the decision was made, KPMG was engaged to conduct a full tender process for the sales on our behalf.”
McKenna emphasised that throughout the sale process, it was the company's priority to ensure that the vast majority of its staff in both countries would be offered employment under their existing terms and conditions.
