Following the news July 28, 2013 that Penske Automotive Group (NYSE:PAG) had signed an agreement to acquire Western Star Trucks Australia, the commercial auto and parts distribution unit of Transpacific Industries Group, the deal has been completed, Penske announced today.
The estimated $200-million, all-cash deal includes approximately $67 million in working capital, according to Penske's statement. The new commercial vehicle group is expected to boost annual revenues between $420 million to $460 million for Penske, along with adding an estimated $0.10 to $0.14 per share on an annual basis.
Penske Automotive chairman Roger Penske said the acquisition, "provides us with an attractive gateway to enhance our global business profile while potentially providing a stepping-stone to Southeast Asian markets for other parts of our business."
Penske said it intends to retain Western Star's existing management team.
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