Electric cars in largest NZ auto retailer's outlook

Turners Cars chief operating officer Jonathan Sergel (foreground) and new Dunedin branch manager Vince Atkinson at the Dunedin outlet on Portsmouth Dr. Photo: Peter McIntosh
Turners Cars chief operating officer Jonathan Sergel (foreground) and new Dunedin branch manager Vince Atkinson at the Dunedin outlet on Portsmouth Dr. Photo: Peter McIntosh
Bolt-on business acquisitions and electric cars are the immediate focus of car auctioneers Turners Cars, which is just entering its next 50th year of trading.

The group, which has diversified from just auctions into retail sales, insurance and finance divisions is selling about 100 cars a day, or about 3000 a month, making it the country's largest auto retailer.

Turners Cars chief operating officer Jonathan Sergel is progressively visiting many of the company's 22 branches, following up on its 50th celebrations during the past two months.

The Dunedin outlet had been ''trading strongly'' for the past two years, since Turners Cars had moved from just auctions towards retailing vehicles.

Dunedin sales were around 120 to 180 vehicles per month, he said.

''We've moved from trade-based to now a public-facing business,'' Mr Sergel said.

A placement and share purchase plan was completed in October, with an oversubcribed offer of $5million taking total capital raised to $30million.

The capital is earmarked for growth opportunities, including Turners finance book, which was expanding with about $10million receivables per month and for the purchase of strategic dealer and property sites to increase the distribution network and Automotive Retail Division.

''We've got a very aggressive board looking at acquisitions,'' Mr Sergel said.

While circumspect on what might come up in the South Island, he noted the 18-month old Invercargill branch was the group's newest, and since then an Auckland car yard had been purchased to increase exposure, while a vehicle insurer was purchased last year.

On the question of electric cars, Turners Cars was not entering the import market but looking at the second-hand market, having recently installed two e-car charging units in Auckland.

In Dunedin, inquiries for hybrid-cars were coming in almost daily.

''Electric vehicles are going to become a big part of the business for us,'' Mr Sergel said.

Turners Cars Dunedin new branch manager Vince Atkinson said with the advent of digital auctions and retail sales, Otago buyers were not just limited to the stock on show.

simon.hartley@odt.co.nz

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