Director and largest shareholder of S&P/ASX 200 Index (ASX: XJO) automotive retailer Eagers Automotive Ltd (ASX: APE) Nicholas Politis has been buying up big on the company's stock lately.
The Aussie rich lister kicked off a buying spree in March and has since snapped up 580,000 additional shares. That brings his holding in the ASX 200 stock to 70.58 million, 27.6% of the company's outstanding shares, according to ASX data.
Politis' latest trade saw him purchase 10,000 shares for around $11.35 apiece on Tuesday.
Right now, the Eagers Automotive share price is $11.33, 1.07% higher than its previous close. For comparison, the ASX 200 is up 0.13% at the time of writing.
So, what might be bolstering the billionaire's interest in the ASX 200 share this year? Let's take a look.
Image source: Getty Images
Could this ASX 200 director be after exposure to the EV transition?
ASX 200 consumer discretionary share Eagers Automotive looked to gear up for a surge in demand for electric vehicles back in February.
That could be one reason why Politis, who sits on the Australian Financial Review's 2022 Rich List with a $2.23 billion fortune, is upping his stake in the company.
Eagers signed a deal that would see it with a 49% hold in a venture bringing Chinese-made BYD hybrid and electric vehicles to Australian shores.
The cars began to roll into Australia in August, Drive reports. BYD is planning to have six models on offer for Australians by the end of next year.
Eagers Automotive CEO Keith Thornton commented on the deal earlier this year, saying:
This confirms Eagers Automotive at the forefront of Australia's transition to a cleaner vehicle future and recognises our national footprint, geographic diversity, retail expertise and commitment to providing innovative solutions for the future of automotive retail.
BYD is one of the world's largest automakers by market capitalisation and is said to be aiming to grow to be one of the top five automotive brands in Australia in the near future.
The nation has certainly embraced battery-powered cars of late. Of the 93,555 cars sold in Australia in September, 7.7% were electric.
The success of BYD's launch into Australia is expected to be highlighted in the next monthly sales report from the Federal Chamber of Automotive Industries, set to be released in November.
Eagers Automotive share price snapshot
The Eagers Automotive share price has had a rough run as of late.
It has dumped 19% since the start of 2022. It's also currently trading for 24% less than it was this time last year.
For comparison, the ASX 200 has fallen 12% year to date and 9% over the last 12 months.
