I don't know the car, but I'd say it's... optimistically priced... especially given the mileage and low-ish spec (no A/C, cloth trim etc).
In addition, if I were paying the best part of £4k for a 940 I'd expect it to not have a damaged tail-light.
I'm a big fan of the D24T engined 740/940s. I use mine ('90 740) a lot for long runs and it's capable and comfortable.
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