Talks toward a takeover by UK car dealership Pendragon of rival Reg Vardy have advanced, although the two sides have yet to officially agree on the terms of a GBP420m (US$719.5m) deal, a source familiar with the situation told the Reuters news agency on Monday.

“It is fair to say that the talks have advanced. Negotiations are a long way down the line,” the source told Reuters.

The source reportedly said 750 pence per share remained a “pretty firm” offer price but the two sides had not yet officially agreed on the terms of the bid.

An announcement is not imminent, the source told Reuters.

The news agency noted that the Sunday Telegraph newspaper said on 20 November that a recommended offer was expected within the next few days after both sides agreed the terms of the bid.