Carsales is continuing its push into Latin America with the $6.7 million acquisition of DeMotores which runs auto-classifieds websites in Argentina, Colombia and Chile.
The purchase solidifies Carsales' position in Latin America after it took majority stakes in Mexico-based auto-classifieds businesses SoloAutos and Chile's largest online auto advertisements website, Chileautos in the 2016 financial year.
The sale is for 100 per cent of Demotores businesses which were owned by an entity controlled by S.A. La Nacion, a news media group based in Argentina.
"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," Sarsales international director Paul Barlow said.
"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 will fund the purchase via exist cash reserves and debt facilities.
Carsales said Argentina was an attractive place to invest because it had a high gross domestic product per capita and population relative to the region. It said total car sales, new, and used, achieved a volume of 2.2 million in 2016.
Mr Roebuck said his company believes the number one position in the Argentinean online auto market is still up for grabs.
"This acquisition provides carsales with a significant presence in one of the most attractive markets in the region," he said.
"The acquisition also cements chileautos' clear number one position in Chile through the combination of the number one and two assets and creates an opportunity for manufacturers, advertisers and investors to access the number one network of automotive classifieds sites operating across Latin America."
