Top 50 Indie Euro Garages looks set to become a leading player in Europe after a private equity firm agreed to invest in the company.
TDR Capital, which already owns European Forecourt Retail Group (EFR-Group), has agreed to take a minority stake in Euro Garages which values the overall business at around £1.3bn. The deal, which would mean chief executive Zuber Issa and managing director Mohsin Issa would continue to own a majority of Euro Garages and lead the business, will close in December pending regulatory clearance.
EFR-Group owns more than 1,100 sites in Benelux and France, and a Euro Garages spokesman said it was expected a merger between the two businesses would take place next year.
Euro Garages chief executive Zuber Issa said: “We are delighted to have on board a partner with the background and experience that TDR have. This is an exciting new phase for the business and we look forward to working with TDR to grow our business further in the UK and internationally.”
Managing director Mohsin Issa added: “Over 15 years we’ve built our business and a strong position in the UK forecourt retail market with our superior customer offer supported by partnerships with leading convenience and food-to-go brands. TDR understand our business and are the perfect investment partner as we continue to develop our proposition.”
Euro Garages was advised by law firm Eversheds, and the company and the Issa family also received financial advice from Rothschild. TDR’s legal adviser was Linklaters.