Bates Motors, the KwaZulu-Natal-based authorised Isuzu franchisee, has expanded into the Gauteng market.
The dealer group has entered the Gauteng market through the acquisition of 100% percent of the shareholding in Isuzu Truck World in Kempton Park for an undisclosed amount.
The transaction follows the acquisition of the entire Bates Motors business by Isipho Capital Motors two years ago.
This means that both Bates Motors and Isuzu Truck World are now 100% black-owned - and 65% black women-owned - businesses.
Isipho Capital Chairwoman Fortunate Mdanda says they are pleased to increase their investment in the Isuzu brand.
“We believe the acquisition of Isuzu Truck World is a testament to our commitment to the transformation agenda in the South African automotive sector - a commitment we share with Isuzu Motors South Africa,” she says.
Isuzu Truck World, located in close proximity to the Ekurhuleni Aerotropolis at the corners of Great North Road and Deodar Street in Pomona in Kempton Park, is responsible for the sales and service of Isuzu’s complete range of medium, heavy and extra-heavy trucks, busses, D-MAX bakkies and mu-X SUVs.
The new Isuzu D-MAX bakkie will be launched early next year together with the launch of Isuzu’s next generation trucks, all of which are locally manufactured in Struandale in Gqeberha. This follows Isuzu in 2019 announcing it would be investing R1.2 billion in its next generation bakkie programme in South Africa for the South African and sub Saharan Africa markets.
The decision secured 1 000 jobs directly at Isuzu’s operations in Gqeberha and across its national and international dealer network and about 25 000 jobs at its hundreds of suppliers across the country.
The transaction between Bates Motors and Isuzu Truck World has been funded through a combination of both own equity and debt through the newly launched Automotive Investment Transformation Fund (AITF), which focuses on the acceleration of transformation in the South African automotive value chain.
Isuzu Motors South Africa is one of the seven founding automotive manufacturers of the AITF.
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