Ford and Mazda importer Delek Automotive Systems Ltd. (TASE: DLEA), controlled by CEO Gil Agmon, has unveiled its strategy for BMW importer Kamor Motors, which it recently acquired. It will sell Minis and BMWs for up to NIS 235,000 less. The Mini Cooper S will now cost NIS 180,000 instead of NIS 240,000. The BMW i528 will cost NIS 398,000 instead of NIS 485,000 and the BMW 650i Coupe will be reduced from NIS 955,000 to just NIS 720,000.
The prices were announced at a press conference to mark the launch of the new BMW 1 Series. The event was held at Delek Auto's premises at the Moshav Nir Zvi industrial zone.
"The partnership is a win-win. 2012 will be a good year for Delek Auto," said Agmon. He added, "For years, we dreamed of marketing these cars. We'll turn BMW into the number 1 premium car in Israel, with the most sales. We'll take the championship; the rules of the game will change. The list price will be the real price, and the days of the bazaar are over. Every customer will know what he is getting, and how much the customer next to him paid. These are not sale or market launch prices. These are our prices. In the past, BMW was considered a top brand that was completely inaccessible, and we're bringing it to the Israeli customer."
Delek Auto VP Shahar Shemesh spoke about the heavy investment the company is planning in infrastructure. "At the La Guardia intersection [in Tel Aviv], we'll build two towers where will place the flagship showrooms on the 14th and 15th floors for our luxury cars and motorcycles.
"In Jerusalem, too, we'll build a new building at Talpiot Square. In Petah Tikva, where we bought land a few weeks ago, we'll open a national service center for Kamor Motors."
Mini and BMW Division CEO Barak Cohen, presented the company's new price list, which includes prices up to NIS 150,000 less for some models.
Delek Auto's share price rose 0.90% by mid-afternoon to NIS 26.80, giving a market cap of NIS 2.5 billion.
Published by Globes [online], Israel business news - www.globes-online.com - on February 20, 2012
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