Highlights

  • Eagers Automotive agreed to purchase the remaining 20% of EV Dealer Group, taking its ownership of the venture to 100%.
  • The binding unconditional agreement uses cash and shares, with completion scheduled by 31 October 2026 and total consideration undisclosed.
  • Eagers will issue 1,126,779 shares valued at approximately $21.1 million, subject to voluntary escrow for twelve months after completion.
  • The company estimates 5.0% to 5.5% accretion using pro-forma underlying operating profit before tax for the year ended June 2026.

Eagers Automotive (ASX:APE) is moving from majority ownership to full control of its BYD retail venture. A binding, unconditional agreement announced on 26 October 2026 will transfer the remaining 20% of EV Dealer Group for cash and shares. Completion is due by 31 October, although the total price and cash component have not been disclosed.

Share Consideration Carries an Escrow

The transaction requires Eagers to issue 1,126,779 shares to the holder of EVDirect.com 2 Pty Ltd. The disclosed value of that share component is approximately $21.1 million.

Those securities will remain in voluntary escrow for 12 months after completion. The equity component is only part of the consideration, with cash also payable under the agreement.

Eagers expects earnings accretion of 5.0% to 5.5%, measured against pro-forma underlying operating profit before tax for the 12 months to 30 June 2026. That calculation uses a historical trading period rather than representing a forecast of the next year’s earnings.

The information does not disclose the acquired business’s standalone profit. It also does not provide the total cash-and-shares price against which that contribution could be compared.

Retail Venture Has Expanded in Stages

Eagers formed the venture with EVDirect, founded by Luke Todd, to retail BYD vehicles nationally following the brand’s Australian launch in 2022.

In July 2023, Eagers increased its interest from 49% to 80%. It paid $70 million for the additional 31% stake, comprising $50 million in cash and $20 million in Eagers shares.

The latest agreement removes the remaining minority interest in a business Eagers already controls and consolidates. It extends ownership of the retail operation rather than transferring BYD’s national distribution role.

BYD Australia took over national distribution from EVDirect in July 2025. EVDirect subsequently concentrated on retail through EV Dealer Group, leaving the manufacturer responsible for distribution itself.

Sales Backdrop and Deal Limits Remain Separate

BYD recorded 8,191 Australian sales in September, up 61.1% from a year earlier, making it the country’s second-best-selling brand that month. It also passed 150,000 Australian deliveries in the week before the acquisition announcement.

Those brand-level figures provide the operating backdrop to the deal. They do not supply a separate revenue or margin figure for EV Dealer Group.

Eagers’ increased exposure remains linked to BYD demand and the manufacturer’s retail arrangements. New-energy vehicle margins face price competition, tariffs, regulatory changes and shifts in customer demand.

The next transaction milestone is completion by 31 October. Later filings may provide the full consideration, while the company’s next trading commentary and subsequent BYD sales figures will add operating information. The new shares’ escrow period begins only after completion.