The deal to sell British listed car dealer group Lookers to Alpha Auto Group (AAG), a privately owned Canadian car dealer group could be in doubt after Lookers shareholder, Constellation Automotive Group stated it now plans to vote against the acquisition.

The mooted $596 million deal, made through a bidding vehicle called Global Auto Holdings Limited, was announced last month and looked to be going ahead after Lookers agreed to the ‘all cash’ offer of 120p per share and recommended the deal to shareholders. At the time of the bid, AAG said it had support from 42% of Lookers shareholders.

However, Constellation Automotive Group, who also own online used car business Cinch, and B2B used car marketplace BCA, has now withdrawn the letter of intent and plans to vote against the acquisition, according to an update issued to the London Stock Exchange this morning.

Constellation Automotive Group owns a 19.2% share in Lookers. Lookers is now re-engaging with other shareholders to potentially broker a new deal.

AAG launched in 2014 and has seven sites in the U.S. and 10 in Canada. It saw the acquisition as an excellent opportunity to enter the U.K. market.

Constellation Automotive Group declined to comment when AIM Group contacted them to find out why it has withdrawn support for the deal.

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