Automotive Holdings Group Ltd has added a Hino truck dealership at Dandenong in Victoria, an outlet the vehicle trader described as a "flagship" operation and a significant expansion of its business.
Automotive Holdings Group Ltd has added a Hino truck dealership at Dandenong in Victoria, an outlet the vehicle trader described as a "flagship" operation and a significant expansion of its business.
AHG said it was selected by Hino Australia as the preferred operator for the dealership, which will control and service Hino's largest market area in Victoria in a thriving industrial region.
The company is now in the process of securing local and state government licensing approvals to commence trading at a new site on Princess Highway.
AHG chief executive Officer Bronte Howson said the Hino dealership represented a major growth step for the company's Automotive Retailing division.
"Dandenong is one of Hino's premier dealership outlets, with more than 350 vehicles sold in the region in the last financial year," said Mr Howson.
"This is an outstanding opportunity for AHG to build its automotive retailing presence in Victoria and we are delighted to have been selected by Hino to take on this exceptional retail outlet."
Mr Howson said the move into Dandenong was in line with AHG's strategy of developing or acquiring businesses that were earnings accretive and which would benefit from the AHG corporate model.
"This opportunity provides AHG with geographic diversity and with a significant platform in the eastern states marketplace," he said.
"The Dandenong dealership is in one of Hino's largest Prime Market Areas nationally and we look forward to developing an important new revenue and earnings stream for the AHG Automotive Retailing division."
Hino Motor Sales Australia Director of Operations Roger Hall said AHG was a standout choice for the dealership.
"AHG is a quality, proven operator that has been an outstanding success with Hino in Western Australia. We now look forward to AHG doing the same job in Victoria," said Mr Hall.
"Hino is keen to further build its presence in this market and we believe the AHG management model can provide the platform for that growth."
AHG expects to begin operating the Dandenong dealership in December from temporary premises. Construction of a new purpose-built facility will begin in the New Year, with completion scheduled for the second half of 2006.
Earlier this month, AHG announced a major expansion in its Logistics division, with a commitment to a new NSW cold storage and distribution facility for its Rand Transport subsidiary.
Rand Transport has committed to a 22,000 pallet facility in the Olympic Precinct at Homebush in Sydney that will provide a springboard for the development of Rand's cold storage and distribution business on the eastern seaboard.
