Two top distributors unite
The CATS Group of Companies, a distributor of luxury auto brands like Mercedes-Benz, Jaguar, Land Rover, Chrysler, Jeep, Dodge, and Ram, now has a new partner to move forward with.
Inchcape Plc (“Inchcape”) the leading independent multi-brand global automotive distributor today announces an agreement to enter into a joint venture with CATS Group of Companies (“CATS”), including the acquisition by Inchcape of a controlling stake in CATS.
CATS was founded by Felix R. Ang in 1989 as a car accessories, tires, and service center business. Since then, it has grown to become the leader in premium vehicle distribution and biggest one-stop shop luxury passenger vehicle center in the country with a core purpose and mission to fulfill the aspirations of its customers to own the car of their dreams.
CATS has been a distributor for Mercedes-Benz and Chrysler group cars since 2004. It became the Jaguar and Land Rover distributor for the Philippines in 2017. It also has dealerships for Mazda and Harley-Davidson Motorcycles.
Inchcape is a British multinational automotive distribution, retail, and services company. It has operations across the globe, with its Singapore-based Asia Pacific (APAC) division entering the region as far back as 1967, and now operating in many countries in Southeast Asia.
With the agreement, Inchcape will power CATS to the next step in its journey, bringing global scale across more than 40 markets, leadership in digital and data and EV expertise to the fast growing and dynamic Philippine market where automotive sales are forecast to grow to 500,000 by 2026 with the luxury market expected to grow at an even stronger rate.
The joint venture with CATS is part of Inchcape’s “Accelerate Strategy” in action, a key element of the Group's ambition to expand its existing global footprint and presence in Asia and other underpenetrated markets while becoming the undisputed number one distribution partner for automotive manufacturers and the employer of choice for current and future employees.
The deal is expected to close in H2 2023 with CATS’ founding Ang family retaining the remaining 40% of the company and continuing to be represented on the Board by Felix Ang, and management team.
“We are very pleased to be entering the new and strategically important market of the Philippines through the acquisition of a controlling stake in CATS’ Philippine operations. As the leading luxury vehicle distributor in the market, CATS has excellent OEM relationships, and we look forward to working with them and the Ang family to drive the business forward,” said Ruslan Kinebas, Inchcape’s APAC CEO.
“We are very pleased to be entering the new and strategically important market of the Philippines through the acquisition of a controlling stake in CATS’ Philippine operations. As the leading luxury vehicle distributor in the market, CATS has excellent OEM relationships, and we look forward to working with them and the Ang family to drive the business forward,” Felix R. Ang, CATS Group of Companies founder.
“After over 30 successful years of operating independently, we believe the time is now right for CATS to take the next step in our growth journey and in Inchcape we have found the right partner to drive us forward. The Philippines is a fast-growing market with an increasing demand for the luxury vehicles we provide, and we look forward to leveraging Inchcape’s leadership in digital and data to further build our distinctive market position through the provision of best in class customer service.”