Autosports priced at $2.40 per share

The float of the luxury car dealership Autosports has priced at the top of its range.

Shares have been sold at $2.40 each ahead of its listing on November 22, which will see the company head to the boards as one worth $482 million.

Its price equates to 17.2 times its forecasted annual earnings.

Car dealerships at the luxury end of the market are going from strength to strength, as low interest rates encourage a growing number of drivers to finance the purchase of new vehicles.

The pricing defies critics who thought the deal was too expensive at the top of its range.

Working on the deal have been Macquarie Capital and Luminis, along with UBS.

About a month ago, there were predictions the group’s market value would be about $450m, and the IPO raising about $150m.

Luxury cars account for 36 per cent of new car sales, more than double the level 20 years ago.

Launching in 2006 with an Audi dealership, Autosports now has 27 operations, with a focus on 11 prestige and luxury brands in Brisbane and Sydney.

Sales growth is tipped to fall to 8.7 per cent for the 2017 financial year.

The family-owned business sold 13,000 new cars in the 2016 financial year and 12,000 used cars.