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IR
You're right on the money. One of the favourite cars I've owned (actually the car I kept hold of the longest) was a Series 1 106 Rallye. Obviously the AX and the 106 had a lot in common and shared the TU engine in various forms. The 1294cc in the Rallye was a little screamer and the chassis was great. If the body is as tidy as it looks it could be a good candidate to try and make a bit of a sleeper hot hatch out of it.