Connexion Mobility (ASX: CXZ) has entered into a definitive agreement to acquire Melbourne automotive service and repair centre Hallam Road Automotive for total potential consideration of approximately $5 million.
The acquisition is expected to lift Connexion’s EPS by approximately 25% to 35% while adding a profitable Australian-dollar operating asset to its software-focused automotive portfolio.
Hallam Road Automotive is a long-established independent workshop in Melbourne’s south-east, with a large nine-bay facility, an 11-person team and a customer base split about 60% commercial and 40% retail.
The transaction comprises an upfront cash payment of approximately $4m and a potential performance-based earn-out of about $1m payable over 12 months, with the company to fund the transaction through existing financial resources and a new $2.5m amortising debt facility with National Australia Bank.
Hallam Road founder Elie Chakkour has committed to a 12-month paid handover consultancy to support continuity across operations, staff, customers and commercial relationships.
Earnings Diversification
Connexion—which held net cash and investments of US$5.6m at the end of March 2026—has been assessing acquisition targets that can improve the size, sustainability, and diversification of its EPS.
Hallam Road Automotive operates in a resilient segment of the Australian automotive aftermarket, where vehicle servicing remains tied to safety, warranty compliance and resale value.
Demand is also supported by the rising complexity of modern vehicles and the average age of the Australian vehicle fleet, which now sits at approximately 11.6 years.
Independent workshops have also benefited from right-to-repair changes that require vehicle manufacturers to provide technical repair information to qualified repairers at fair market prices.
Those settings make established workshops with skilled labour, diagnostic capability and strong customer relationships attractive platforms in a fragmented market.
Local Industry Leader
Connexion chief executive officer Aaryn Nania said the acquisition added a high-performing business in a resilient industry.
“The teams at both companies share a passion for improving customer experiences surrounding automotive service & repair, and we are delighted to have the opportunity to own a local industry leader of the calibre of Hallam Road Automotive.”
“Having built Hallam Road Automotive with my late father George, I am extremely proud of what our team has achieved over the past 25 years,” Mr Chakkour added.
“As a family business, it was important to us that we transitioned ownership to a company that would ensure our staff, suppliers, and customers were in good hands.”
We are pleased to have found a partner […] that respects the history and values of our business—our team of technicians and service staff have a fantastic opportunity for training and career development within the Connexion Mobility group.”
Strong Strategic Fit
Connexion’s existing business provides enterprise-grade mobility software to the global automotive retail industry, with its OnTRAC and Connexion platforms supporting fleet, contract management, telemetry, and data analytics across dealership courtesy transport networks.
The Hallam Road Automotive acquisition gives the company a physical operating platform in the same broader automotive ecosystem.
Connexion sees potential to use the workshop as a local test bed for its software products and to strengthen its product and engineering teams’ understanding of day-to-day automotive operations.
The company also sees scope for selective bolt-on acquisitions of other service and repair businesses over time.
Successful integration of Hallam Road’s mature local platform is expected to support Connexion’s future acquisition initiatives and broaden its operating base beyond software revenue.
