Eagers Automotive has purchased WFM Motors Canberra dealerships and properties for $205m and has sold the Bill Buckle dealerships for $92m.

The Canberra dealerships are owned by Eagers Automotive director Nick Politis so will require shareholder approval.

Morgans estimates the deal is roughly 3% accretive and says it provides an instant presence and scale in the Canberra market.

Vehicle supply remains the spanner in the works but in the meantime, Morgans says Eagers is busy building a sustainably higher earnings base via consolidation.

Add rating and $16.70 taret price retained.

Sector: Retailing.

Target price is $16.70.Current Price is $14.50. Difference: $2.20 - (brackets indicate current price is over target). If APE meets the Morgans target it will return approximately 13% (excluding dividends, fees and charges - negative figures indicate an expected loss).

© 2022 Acquisdata Pty Ltd., source FN Arena