EXPANDING motor retail company Reg Vardy is on the verge of snapping up seven new dealerships as it pushes toward the magic 100 mark.

The Sunderland firm, which aims to hit the century figure by the end of next year, signalled to the City yesterday that it was on the right road.

The company completed the acquisition of a Volkswagen dealership in Stourbridge, West Midlands, in February, and said yesterday it was in "advanced negotiations" to buy an additional seven outlets.

The locations of the dealerships have not been disclosed but Vardy did say that two involved the specialist end of the market.

The company has 67 sites but plans to run 100 by the end of next year. It also operates two body shops and a dedicated parts centre.

It said that market conditions in the first three months of this year, including March's new registration season, had been satisfactory.

The performance means results for the second half of the financial year are likely to be in line with City hopes.

The company, which is due to announce results for year to April 30 on July 9, was updating analysts during a tour of its sites.

Half-year results in January showed last year's record market helped push pre-tax profits up 21 per cent to £17.8m