PSA Group and Aramisauto announce they have entered into exclusive negotiations to conclude a strategic alliance
• The PSA Group and Aramisauto, the French leader in online used-car sales, have entered into exclusive negotiations in order to conclude a strategic capital alliance to boost the development of online used-car sales and related services
• As part of its Push to Pass strategic plan, the PSA Group aims to become a global player in the multi-brand used-car market
• Aramisauto is a multi-brand digital-sector player that markets used cars to retail customers on the Internet
The alliance would allow the PSA Group to enter the online used-car sales market alongside a leader in the field and offer its financing, insurance, warranty and used-car maintenance solutions to Aramisauto's customers.
This alliance, under which Aramisauto will remain fully independent, will also help Aramisauto to achieve faster growth and develop outside France with a view to doubling its revenue in less than five years, mainly by extending its services to several European markets over the next three years. In addition, its profitability will be enhanced by the synergies that will be unlocked in used-car purchases in particular.
Founded in 2001, Aramisauto is a pioneer in online car sales and the first platform to offer its customers used cars reconditioned in a dedicated plant, a "satisfied or your money back" guarantee and recently an application to arrange home delivery and pick-up.
Its website has more than 1,000,000 unique visitors per month and is expected to sell 32,000 cars in 2016 for total revenue of €360m.
The project underscores the opportunity that the fast changing used-car market represents.
The market is ripe for thorough transformation and digitisation, a process with which the PSA Group-Aramisauto alliance will be fully aligned. The partners aim to revolutionize the customer experience by creating the leading platform for used-car purchases and sales, based on Aramisauto's unique model that covers the entire value chain, thus guaranteeing the quality of the car and shaping the consumer's decision-making process.
This project of alliance is subject to the approval of employee representative bodies and remains subject to the authorization of the competition authorities.
Commenting on the announcement, Marc Lechantre, Vice-President of the PSA Group's Used Car Business Unit, said: "This alliance between two European leaders in their respective markets will give both partners access to the considerable growth potential of a used-car market that is double the size of the new car market, and in which the PSA Group has until now had little involvement."
Nicolas Chartier, co-founder of Aramisauto, said: "For us, the alliance with the PSA Group will be an enabler of enhanced competitiveness and growth," and Guillaume Paoli, co founder of Aramisauto, added: "Our ambition is to become the consumer's preferred solution for buying and selling used cars in Europe."