This morning we have announced a significant M&A milestone in Inchcape’s recent history. We have signed an agreement to implement a business combination to acquire Derco, the largest automotive distributor in Latin America with operations in Chile, Peru, Colombia, and Bolivia. This will extend Inchcape’s distribution leadership in LATAM, bringing significant additional revenue and margin accretive profit to the Group.


The combination with Derco is a transformative and unique opportunity to accelerate our global distribution business.  We believe it will deliver substantial shareholder value and is another great example of our Accelerate strategy in action.


Derco will dramatically increase our scale in the fast growth Americas region, bolstering our presence in several existing markets, and will secure Bolivia as a new Inchcape distribution market.  Derco also brings a fantastic set of highly complementary OEM relationships, including deepening our decades-long relationship with Suzuki, and broadens our brand footprint in the markets, with Mazda, Changan, JAC, Renault, Great Wall, and Haval.


We have long admired Derco’s business, and we are delighted to partner with the del Río family. We are also excited about working with our talented new colleagues at Derco to continue to accelerate the growth of the enlarged Americas business. Together we will have extensive access to customer and vehicle data, which is at the heart of our strategy to capture a greater share of the vehicle lifecycle value.


As the leading automotive distributor globally, Inchcape will continue to drive sector consolidation in an industry primarily made up of regional and more local distributors and where the combination of digital capabilities, and data and consumer insights are ever more valuable.

Duncan Tait, Inchcape Group CEO





Strategic Highlights

• Brings together leading distributors in Latin America: Inchcape, with broad geographic reach and extensive brand representation, and Derco, the largest independent distributor by volume

• Significantly expands Inchcape’s position in highly attractive and fast growth markets within Latin America

• Combines two best-in-class operators with complementary market footprints and OEM brand portfolios, providing significant opportunities for customers, OEMs, and employees of the enlarged business

• Expected to deliver significant value creation through enhanced growth prospects and delivery of meaningful recurring synergies

• Derco is a well-managed company, strongly aligned culturally and strategically with Inchcape. The Del Río family (Derco’s owners) will become a shareholder (9.3 % holding) in Inchcape and will be entitled to nominate one director to the Inchcape Board following Completion



Derco is a great business with strong and long-established relationships with leading OEMs. It has a reputation for operational excellence and has been successful in expanding its distribution footprint in recent years.


Growing demand for new vehicles in Derco’s highly attractive markets is underpinned by compelling long-term demographic and economic trends in Chile, Peru, Colombia, and Bolivia.  These powerful market dynamics provide a long runway of growth opportunities for our business.


Inchcape’s scale and geographic diversification together with its track record for successful integration, engaging and retaining talent and market-leading digital and data capabilities provide a strong platform for continued profitable growth and superior value creation.


I am really looking forward to welcoming our new colleagues from Derco into Inchcape Americas.


Romeo Lacerda, CEO Americas & Africa, Inchcape




Inchcape’s track record of expansion across the Americas is impressive, and we have great respect for the business. Both businesses enjoy a strong strategic and cultural fit, sharing the same values and commitment to deliver excellence for our OEM partners and consumers across our communities.


As well as its established reputation for distribution excellence, Inchcape is the undisputed leader in digital and data across the Americas. This is an increasing area of focus for automotive OEMs and one of the reasons they are so supportive of our proposed combination.


I am excited by the combination with Inchcape, and the opportunities we have to further accelerate growth in the Americas region, together with the continued support of our colleagues.


Juan Pablo del Río, shareholder and member of the Board of Derco



Derco Acquisition Documents