EDMONTON, Oct. 4, 2016 /CNW/ - AutoCanada Inc. ("AutoCanada") (TSX: ACQ) announced today that it has entered into an agreement to purchase all of the issued and outstanding shares of Wellington Motors Limited, which operates a Chrysler Dodge Jeep Ram Fiat dealership in Guelph, Ontario (the "Dealership"). The transaction is subject to customary closing conditions and approvals and is expected to close within 21 days.
As part of the transaction, AutoCanada will purchase the Dealership lands and 40,793 square foot facility with a 12 car showroom and 16 service bays. In 2015, this Dealership retailed 968 new vehicles and 402 used vehicles, with an annual revenue of approximately $61 million.
"We are extremely pleased to welcome Wellington Motors into our Ontario dealer group. The dealership recently owned and operated by Ted and Mike Woods has a long history serving the Guelph community, recently celebrating its 75th anniversary. We are thrilled to acquire such a flagship store in Ontario. The Woods family has been a staple in the Guelph community and AutoCanada intends to continue that strong tradition" stated Steven Landry, Chief Executive Officer of AutoCanada.
About AutoCanada Inc.
AutoCanada is one of Canada's largest multi-location automobile dealership groups, currently operating 53 franchised dealerships, comprised of 60 franchises, in eight provinces and has over 3,700 employees. AutoCanada currently sells Chrysler, Dodge, Jeep, Ram, FIAT, Chevrolet, GMC, Buick, Cadillac, Infiniti, Nissan, Hyundai, Subaru, Mitsubishi, Audi, Volkswagen, KIA, BMW and MINI branded vehicles. In 2015, our dealerships sold approximately 62,800 vehicles and processed approximately 848,000 service and collision repair orders in our 912 service bays during that time.
SOURCE AutoCanada Inc.
For further information: Christopher Burrows, Vice-President & Chief Financial Officer, Phone: 780.509.2808, Email: [email protected]