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In an effort to improve operational efficiency and expand market share, motor vehicle dealers DT Dobie and CFAO Motors Kenya have combined their business activities to form CFAO Motors Kenya.
DT Dobie transferred its business assets to CFAO Motors Kenya, which was formerly Toyota Kenya, as part of the merger, which became effective on April 1, 2023.
The merger is a part of CFAO Group’s internal business reorganization endeavor to streamline and simplify the structure of its mobility company in Kenya.
The two companies had been functioning independently for the previous ten years despite sharing ownership.
The former Toyota Kenya has increased its multi brand offering as a result of the merger and has given DT Dobie the dealerships for Suzuki and Hino passenger cars.
With an almost 30% market share, the combined company is now the second-largest dealer by unit sales, trailing only Isuzu East Africa, which has a 44.7% market share.
In the overall new car market, CFAO Motors had a 23.1% share last year after selling 3,084 units, while DT Dobie had a 5.8% share after selling 772 units.
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The united company’s operations will be split into three primary sections.
1.Joshua Anya, the Deputy Managing Director of the Toyota and Yamaha division, will be in charge of managing all Toyota operations, Automark pre-owned automobiles, and Yamaha 2-wheel division. Anya will also be responsible for the body and paint shop.
2. Chris Ndala, DT Dobie Deputy MD, will head the multi-brand and equipment division, which will oversee multi-brand passenger car makes, including Volkswagen, Suzuki, and Mercedes-Benz passenger cars.
3. The equipment division will include all the company’s truck and bus business with Hino, Hyundai, Mercedes Benz, and Sinotruk (HOWO).
3.The Winpart and Autofast division will be headed by Abderrahmane Mairi, Chief Operating Officer, who will oversee the value parts as well as Autofast quick service stations in partnership with TOTAL Energies.
The merged entity has also expanded the local assembly offering by CFAO Motors Kenya, combining the assembly of LandCruiser 79 (LC79), Hilux pick-ups, Hiace, and Hino trucks at Associated Vehicle Assembly (AVA) in Mombasa, and the VW Polo, Tiguan, T-cross, Mercedes truck and buses, and Hyundai trucks at Kenya Vehicle Manufacturers (KVM) at Thika, Kiambu County. CFAO Motors Kenya now has the largest dealer network in the country, with 36 branches, dealerships, and authorized service centers.