Listed car distribution group Inchcape is to set up a joint venture with motor vehicle breakdown service the Automobile Association to sell new and used cars.
The initial investment in the venture will be £4m, with the AA, which is owned by gas and services group Centrica, holding 70% and Inchcape 30% of the equity.
The venture will offer new and used cars to UK buyers, as well as financing options and other motor related products.
Centrica said the venture was part of its strategy to widen the range of motoring activities provided by the AA.
The venture will be launched in the first quarter of next year.
