Carsales.com says it will become the top online automotive classifieds network in South America when it completes its purchase of Argentina's DeMotores website.
International director Paul Barlow says his company has agreed to acquire DeMotores, which also operates in Colombia and Chile, from major Argentinian media company S.A. La Nacion for $A6.7 million.
"The inclusion of DeMotores with carsales existing investments in Brazil, Mexico and Chile makes us the number one online automotive classifieds network operating across the Latin American region," Barlow said in a statement to the ASX on Tuesday.
"This investment further capitalises on our work rolling out a Spanish language version of our world-class technology in Mexico and Chile and helps us continue to benefit from economies of scale in Latin America."
Carsales.com chief executive Greg Roebuck said the Argentinian market was attractive with good prospects under its new president, high gross domestic product per capita and a high population density relative to the South American region.
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"This acquisition provides carsales with a significant presence in one of the most attractive markets in the region," he said.
DeMotores' existing senior management will be retained after the sale, expected to be completed by the end of March.
