British automotive market Auto Trader is set to acquire U.K. auto leasing market Autorama, the company announced on its website Tuesday (March 22).
According to the announcement, Autorama aggregates leasing deals from multiple funders and original equipment manufacturers (OEMs) under its “Vanarama” brand. Vanarama has partnerships with OEMS, retailers and funders and sold more than 120,000 vehicles.
“The acquisition will transform Auto Trader’s existing leasing proposition and help to meet the demands of the growing number of consumers who might consider leasing their next new vehicle,” the company said. “In turn, it will enable Vanarama to accelerate its recent expansion, beyond light commercial vehicles, into cars by accessing Auto Trader’s brand.”
Auto Trader says there’s a place for a new car leasing marketplace, fueled by the growth of the electric vehicle market and new manufactures selling in the U.K. toward usership.
“To ensure we have the greatest choice of cars to buy online, we could not ignore the growing demand for leasing deals,” said Auto Trader CEO Nathan Coe. “In Vanarama, we have found an industry leading leasing platform that delivers a great consumer experience and significant sales for its partners.”
Vanarama CEO Andy Alderson added that the acquisition will let the company accelerate its growth plans after years of heavy investment in its technical capabilities.
Read more: Used Car eCommerce Platform Plans Marketplace to List Others’ Cars Too
The transaction — which is still subject to regulatory approval — is part of a series of acquisitions in the online car buying space this month.
Last week, automotive eCommerce platform Shift announced the acquisition of Fair Technologies, a deal the company says will accelerate its ability to build a digital marketplace. On that marketplace, dealers and independent sellers can list their used cars alongside Shift’s owned inventory.
“Fair’s technology, team and deeply established dealer relationships will allow Shift to accelerate its vision of becoming the destination marketplace for car ownership,” Shift said in a letter to shareholders.
Learn more: Cars Adds Digital Vehicle Acquisition With Accu-Trade Group Addition
And at the start of the month, online automotive marketplace Cars.com Inc. acquired the Accu-Trade Group for $65 million, a deal the company says bring real-time, VIN-specific appraisal and valuation data, and logistics technology to the platform.
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