Volvo Construction Equipment (Volvo CE) announced that it is divesting its wholly owned British dealership to long-term distribution partner SMT. The deal was signed on July 4.
The sale includes the distribution rights for Volvo-branded construction equipment machines, parts and aftersales in Great Britain, as well as Volvo Construction Equipment Great Britain’s headquarters in Duxford, Cambridgeshire, its nationwide operations, most other assets and the transfer of all employees. The existing management structure will remain in place.
Commenting on the deal, Volvo CE president Martin Weissburg said, “Volvo CE’s distribution in Great Britain is now in the hands of an independent and strategically aligned distribution partner, led by an experienced leadership team. This move supports the general transformation program that is improving the long-term competitiveness of Volvo CE.”
“This change is an example of Volvo CE’s objective of focusing on the development of industry-leading products and services, while at the same time partnering with likeminded and entrepreneurial distribution partners,” said Carl Slotte, president of Volvo CE’s Europe, Middle East and African sales region. “We feel that further growth in Great Britain is best achieved under the ownership of a strong independent dealer. We believe SMT, with its impressive record of accomplishment in the construction equipment market, is the right strategic distribution partner to grow and invest in this important European market long term.”