AMA Group appoints new managing director to lead next stage of financial turnaround
Motor vehicle accident repair business AMA Group (ASX: AMA) has appointed non-executive director Ray Smith-Roberts to the role of managing director following the departure of chief executive officer Mathew Cooper.
Mr Smith-Roberts has considerable industry experience, having operated a number of AMA’s businesses and served as an executive director of the company from 2011 to 2019.
He has a proven track record of extracting efficiency and performance improvements from businesses in the sector, including panel repair.
Financial turnaround
AMA said Mr Smith-Roberts would be responsible for leading the next stage of AMA’s financial turnaround with a focus on further improvements to its operations, specifically the AMA Collision business.
“The board is pleased to enter this phase of operational improvement and wishes to thank Mr Cooper for his contribution as chief executive officer over the past 16 months,” the company said.
The company has strengthened its balance sheet since the middle of 2024 with the completion of a $125 million capital raising, the refinancing of banking facilities on improved terms, and the repayment of a $50m convertible note.
Suncorp agreement
AMA Group added another win to its balance sheet this week, completing an updated motor service repair agreement with insurance company Suncorp Australia.
While specific details are commercially sensitive and confidential, AMA confirmed the update reflects price adjustments related to industry-specific inflationary measures.
AMA and Suncorp have also reaffirmed a commitment to high-quality, cost-efficient and timely vehicle repairs for customers.
This includes continued utilisation of the Capital SMART Repairs business and AMA Collision network capacity, targeting 12 new locations and an additional 40,000 annual repairs over the next four years.
Equity stake
AMA acquired a 90% equity stake in Capital SMART from Suncorp in 2019 for an implied enterprise value of $420m.
The business specialises in low- to medium-severity repairs in metropolitan areas across Australia and New Zealand.
“It has been great to see the way the Capital SMART team has worked together with Suncorp to implement changes which are delivering better customer outcomes and improving operational efficiency,” the company said.
“We are pleased now to have reaffirmed AMA’s partnership with Suncorp as we continue to grow our network and deliver the best service possible to Suncorp’s customers.”