AUTOCANADA ACQUIRES NURSE CHEVROLET CADILLAC DEALERSHIP AND COLLISION CENTRE IN WHITBY, ONTARIO
EDMONTON, AB, June 25, 2024 /CNW/ - AutoCanada Inc. ("AutoCanada" or the "Company") (TSX: ACQ), a multi-location North American automobile dealership group, announced today that it has acquired Nurse Chevrolet Cadillac ("Nurse"), a new and used vehicle Chevrolet Cadillac dealership and collision centre, located in Whitby, Ontario.
"We are grateful that Mary Nurse chose AutoCanada to be the steward of this business. The Nurse family served the community for the last 50+ years and we look forward to proudly carrying their legacy into the future. Further, Mary's fair and authentic leadership style have enabled her to pioneer the way for women in automotive in Canada. She has attracted and built a high-quality team capable of taking on the next leg of the journey. We are excited to be working with the team at Nurse to further grow the business and serve customers throughout the Whitby market", said Executive Chairman, Paul Antony. "This acquisition adds a strong dealership with significant growth potential, bringing our Ontario dealership footprint to 23 locations. It also adds another certified collision centre to AutoCanada's Collision platform, which now consists of 28 collision centres with 10 located in Ontario. Notably, the acquisition expands our relationship with General Motors Canada, adds another Cadillac store into our dealership portfolio, and represents our first dealership in Whitby."
Nurse is a well-established business in the Whitby area, having served the local community for over 58 years with a track record of delivering top-tier customer satisfaction. The combined dealership and collision centre operate out of an 85,000 square foot facility on a six-acre site. The current management team will continue to operate the business going forward.
The dealership and collision centre currently generates annual revenues in excess of $80 million. The transaction will be funded using the Company's credit facility and is expected to be accretive to 2024 earnings.
AutoCanada is a leading North American multi-location automobile dealership group currently operating 85 franchised dealerships, comprised of 28 brands, in eight provinces in Canada as well as a group in Illinois, USA. AutoCanada currently sells Chrysler, Dodge, Jeep, Ram, FIAT, Alfa Romeo, Chevrolet, GMC, Buick, Cadillac, Ford, Infiniti, Nissan, Hyundai, Subaru, Audi, Volkswagen, Kia, Mazda, Mercedes-Benz, BMW, MINI, Volvo, Toyota, Lincoln, Acura, Honda and Porsche branded vehicles. In addition, AutoCanada's Canadian Operations segment also currently operates three used vehicle dealerships and one used vehicle auction business supporting the Used Digital Division, 13 RightRide division locations, and 11 stand-alone collision centres within our group of 28 collision centres. In 2023, our dealerships sold approximately 100,000 vehicles and generated revenue in excess of $6 billion.
Certain statements contained in this press release are forward-looking statements and information (collectively, "forward-looking statements") within the meaning of the applicable Canadian securities legislation. We hereby provide cautionary statements identifying important factors that could cause our actual results to differ materially from those projected in these forward-looking statements. Any statements that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance (often, but not always, through the use of words or phrases such as "will likely result", "are expected to", "will continue", "is anticipated", "projection", "vision", "goals", "objective", "target", "schedules", "outlook", "anticipate", "expect", "estimate", "could", "should", "plan", "seek", "may", "intend", "likely", "will", "believe" and similar expressions) are not historical facts and are forward looking. In particular, this press release contains forward-looking statements with respect to, among other things, future operating results of the acquired dealership and collision centre, the successful integration of such dealership and collision centre into AutoCanada's business, and the growth of the Company's collision and F&I divisions.
The forward-looking statements included in this press release are not guarantees of future performance and should not be unduly relied upon. Readers are cautioned that forward-looking statements are based on current expectations, estimates and projections that, by their nature, forward-looking statements involve a number of known and unknown risks and uncertainties, which could cause actual results to differ materially from those anticipated and described in the forward-looking statements. These known and unknown risks and uncertainties include, but are not limited to: our ability to successfully implement our strategic initiatives; our ability to successfully integrate newly acquired franchised dealerships; economic conditions, including changes in interest and/or inflation rates, consumer demand, tariffs and fuel prices; supply chain disruptions and inventory availability; natural disasters; safety recalls; cybersecurity incidents; potential changes in the regulatory and legislative environment; operating risks inherent in the automotive retail industry; and changes in general economic conditions including the capital and credit markets.
AutoCanada cautions that the foregoing list of assumptions, risks and uncertainties is not exhaustive. The Company's Annual Information Form and other documents filed with securities regulatory authorities (accessible through the SEDAR website at www.sedarplus.com) describe the risks, material assumptions and other factors that could influence actual results and which are incorporated herein by reference. The forward-looking statements contained in this press release speak only as of the date hereof and AutoCanada assumes no obligation to publicly update or revise them to reflect new events or circumstances, except as may be required pursuant to applicable securities laws.
Additional information about AutoCanada is available at www.sedarplus.com and the Company's website at www.autocan.ca.
SOURCE AutoCanada Inc.
For further information contact: Azim Lalani, Chief Financial Officer, Phone: 780-732-3157, Email: [email protected]
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