EDMONTON, June 16, 2014 /CNW/ - AutoCanada Inc. ("AutoCanada" or the "Company") (TSX: ACQ) announced today that further to its prior announcement on April 29, 2014 regarding the proposed acquisition of a dealer group, AutoCanada confirms that it has signed agreements to purchase from the Hyatt Automotive Group Inc. or its affiliates, six dealerships comprised of Infiniti, Nissan, Volkswagen, Mitsubishi and two Hyundai dealerships, all of which are located in Calgary, Alberta.
The completion of the transaction remains subject to various conditions, including the consent of the applicable OEMs. AutoCanada has received manufacturer approval for two of the dealerships and is looking forward to receiving approval for the remaining four dealerships in the near future. AutoCanada will make further announcements regarding the transaction once final approvals have been obtained. The transactions are expected to close during the period of June 23, 2014 to July 3, 2014.
AutoCanada is one of Canada's largest multi-location automobile dealership groups, currently operating 35 franchised dealerships in eight provinces and has approximately 1,800 employees. AutoCanada currently sells Chrysler, Dodge, Jeep, Ram, Fiat, Chevrolet, GMC, Buick, Cadillac, Infiniti, Nissan, Hyundai, Subaru, Mitsubishi, Audi, Volkswagen, BMW and MINI branded vehicles. In 2013, our dealerships sold approximately 36,000 vehicles and processed approximately 364,000 service and collision repair orders in our 381 service bays during that time.
This press release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. All statements other than statements of historical fact contained in this press release may be forward-looking statements and forward-looking information. In particular, forward-looking information and statements in this press release include, but are not limited to, the completion of the proposed dealership group acquisition and the dealerships to be acquired pursuant to the transaction. These forward-looking statements and information are based on certain key expectations and assumptions made by AutoCanada, including the assumption that all necessary conditions will be satisfied and all necessary approvals will be obtained. Although AutoCanada believes that the expectations and assumptions on which such forward-looking statements and information are based are reasonable, undue reliance should not be placed on the forward-looking statements and information as AutoCanada cannot give any assurance that they will prove to be correct. Since forward-looking statements and information address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, the risk that OEM approval will not be obtained for the acquisition and the acquisition will not be completed as proposed or at all and general economic, market and business conditions. Readers are cautioned that the foregoing list of risks and uncertainties is not exhaustive. Additional information on these and other risk factors that could affect AutoCanada's operations, financial results and the completion of the proposed acquisition are included in AutoCanada's annual information form and the other disclosure documents filed by AutoCanada with securities regulatory authorities which may be accessed through the SEDAR website at www.sedar.com. The forward-looking statements and information contained in this press release are made as of the date hereof and AutoCanada does not undertake any obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
SOURCE: AutoCanada Inc.
For further information:
Jeff Christie, CA
Phone: (780) 732-7164