CAP Automotive acquires Derwent Management Services
Based in Ludlow, Shropshire in the UK, Derwent Management Services (DMS) provides performance monitoring, risk management and benchmarking information, focused on the automotive sectors of the UK, the Netherlands and Belgium. It has also recently established a presence in France.
The firms said that DMS’s Service, Maintenance & Repair (SMR) data will strengthen CAP’s Gold Book forecasting system and feed into its consumer-facing “Total Cost of Motoring” tool. The acqusition will also boost the capacity of DMS to accelerate delivery of newly developed innovative data and tools to the market, such as SMR BurnRate and SMR Franchise Utilisation.
The presence of DMS’s successful leasing sector product ‘Insight Pricing’ in the Netherlands and Belgium also gives CAP a foothold in mainland Europe as it seeks to grow into new regions as well as new markets, powered by investment from Montagu Private Equity, which acquired the business in 2012.
CAP added that Derwent Management Services will continue to operate as an arm of CAP Automotive under the leadership of managing director Keith Darby, who will report to CAP CEO Ian Rendle. DMS founder and chairman Andrew Abbott will retire from the business following the acquisition.
Ian Rendle said: ‘This is one of the most logical and significant moments in CAP’s history and it represents a major step forward in our growth ambitions.
‘The acquisition of Derwent Management Services maximises the synergies that already exist between two businesses whose top-flight data already works brilliantly together in systems across our industry and they are a natural fit for us.
‘It is particularly exciting to have secured a route into several mainland European markets. Many of our customers are pan-European and CAP has long held the ambition to serve them outside the confines of the UK, wherever we can bring insight, value and commercial advantage. Now we have the opportunity to do that.
‘But first we will be focused on the integration of DMS into CAP Automotive, ensuring continuity and a business-as-usual sense for all customers. Behind the scenes, however, there will be some very interesting and powerful product developments and enhancements in the pipeline as we seek to create maximum impact and value to our customers from this acquisition.’