The ARB Corporation Limited (ASX: ARB) share price was under the spotlight today after the business announced a partnership with Ford.
What is the announcement?
The company revealed that ARB branded off-road accessories for Ranger and Everest vehicles will be sold as Ford licensed accessories through participating Ford dealers in Australia from the second half of 2021 with other selected Ford markets to follow.
To sweeten the deal, these accessories will be covered by the full Ford new vehicle warranty of up to five years and unlimited kilometres.
Management comments
ARB Managing Director Andrew Brown said: “ARB is truly honoured to be working with Ford at a global level. This collaboration is a great testament to the progressive vision of Ford and ARB to deliver to customers highly capable off-road vehicles with a broad range of best-in-class accessories.”
Summary thoughts on ARB
The two auto businesses are going to work together to ensure the products are compatible with Ford vehicle systems on the Ranger and Everest and that the vehicle systems maintain full functionality with accessories fitted.
The Ford-backed ARB accessories will become available through participating Australian Ford dealerships in the second half of 2021.
This seems like a good move by both businesses. The ASX share will get more customers, whilst Ford can offer high quality accessory products.
It’s a high quality business, but the share price has run so hard over the last 12 months that there might be plenty of ASX growth shares that are better value for the profit growth they’re going to create.