Fleet News

Car Group in talks with finance houses after £1m half-year loss

TROUBLED used car dealership The Car Group is in talks with finance houses after revealing it is expecting second half trade to result in losses of more than £1 million.

The company, owner of National Car Supermarkets, made the announcement to end City speculation, following a profits warning which had seen its share price driven down to under 29p from a 221.5p high.

An official statement from the firm said: 'In response to the downturn in the market for used cars, the board has carried out a full review of its business and operations. This review has identified a need to reduce the break-even point of the business and to restructure the external financing of the business.'

The statement added: 'The board has received a number of approaches as a result of which it has entered into discussions with a major financial institution regarding the refinancing of the Group's current stock funding arrangements.'

Leave a comment for your chance to win £20 of John Lewis vouchers.

Every issue of Fleet News the editor picks his favourite comment from the past two weeks – get involved for your chance to appear in print and win!

Login to comment

Comments

No comments have been made yet.

Compare costs of your company cars

Looking to acquire new vehicles? Check how much they'll cost to run with our Car Running Cost calculator.

What is your BIK car tax liability?

The Fleet News car tax calculator lets you work out tax costs for both employer and employee