Strategic Collision Repair Group Pty Ltd (SCRG) has completed the acquisition of six autobody repair businesses in NSW and QLD. This represents the company’s first step towards becoming a high-scale operator by consolidating a number of high-quality operators.
The businesses acquired are Stanley’s Panel Works, Bodyline Motor Body, Cowper Smash Repairs, Coulson Body Repairs, Silverwater Smash Repairs and CRA Group. With an average history of over 50 years in traditional, rapid and prestige repairs, these businesses together comprise more than 13 operating centres and employ approximately 200 people.
In the 2018 financial year the combined businesses completed more than 22,000 repairs for insurance companies, motor vehicle fleet management organisations, OEMs, commercial and government customers and motor vehicle owners.
Stuart McDonald of Silverwater Smash Repairs said :“I am looking forward to joining a group of like-minded repairers focused on the industry challenges of the future.”
John Spiteri of CRA Group said: “When the opportunity arose to join SCRG I jumped at it. The professionalism, collegian mentality and benefits of this group are unbelievable. By offering a real choice to insurers and customers I have no doubt this group will transform the smash repair industry”
Providing a high scale, customer-centric offering
The acquired businesses have established brands and strong community and insurer relationships. Operating as a consolidated group will provide significant advantages and financial benefits, including cost synergies and increased purchasing power.
SCRG’s strategy is to provide customers with high quality, affordable and timely service through its network of experienced smash repair operations, while expanding its relationships with major general motor vehicle insurers and other customers. The company will support its smash repairers by providing industry-leading processes, training and centralised support functions, while continuing to develop a highly professional employee base.
The company will look to grow through a strategic approach to marketing, leveraging its expertise across the network, expanding into new sites and pursing further acquisitions.
Funding and key executives
The acquisitions were financed by Portcullis House. A representative of Portcullis House, Laurie Macri will serve as SCRG’s executive chairman. Macri will be supported by business executive Brendon Glass and a key management personnel team in sales, finance, operations and general management is being formed to support the scale of business acquired.
Laurie Macri is an experienced finance executive having spent more than 30 years in the finance industry, including 22 years at Macquarie Group having recently retired as an executive director. Brendon Glass is an experienced executive in the wealth management, online broking, investment banking, travel, SaaS, FMCG and fintech industries including at Macquarie Bank and UBS Wealth Management.
The vendors of the businesses will remain with SCRG to facilitate a smooth and stable integration and to provide ongoing key operational and commercial input into the combined business. An executive committee has been established to oversee SCRG and will include the vendors, who will also remain material shareholders of SCRG.
Macri said: “This represents the first step in SCRG’s life as a consolidator of high-quality smash repair businesses. For the acquired businesses it is very much business as usual, while we look to implement operational synergies in procurement and enhanced site performance, as well as productivity improvements through a centralised support function and the application of integrated software. Our aim is to develop a high-scale, industry-leading operator with the customer at the centre of everything we do and a culture of excellence.”