Symbol: CVL (TSX)
CALGARY, Oct. 16, 2014 /CNW/ - Cervus Equipment Corp. ("Cervus" or the "Company") (TSX: CVL) today announced that it has completed its acquisition of 100 per cent of the shares of Evergreen Equipment Ltd. ("Evergreen"). With this acquisition, Evergreen Equipment will be rebranded to Cervus Equipment.
"This acquisition demonstrates Cervus' ability to continue to grow its agricultural business in Western Canada in partnership with John Deere," said Graham Drake, President and CEO of Cervus. "As Evergreen's business operations are similar to Cervus' and its dealerships are adjacent to our existing John Deere locations, we expect a smooth integration. For the past 70 years, Evergreen has grown a strong business across southern Alberta, and Cervus looks forward to building on that success to benefit the entire Evergreen team, as well as their customers and communities."
Established in 1944, Evergreen owns four John Deere dealerships located in Bassano, Brooks, Drumheller and Hanna, Alberta that sell new and used agricultural equipment and offer equipment parts and servicing. Over the last three fiscal periods, Evergreen reported average gross revenue of more than $87 million per year.
"With the strength of the entire Cervus organization behind us, we will continue to enhance the John Deere offering in our communities to meet the growing needs of our customers, employees and partners," said Mark Jones, General Sales Manager, Evergreen Equipment Ltd.
About Cervus Equipment Corporation
Cervus acquires and manages authorized agricultural, commercial, industrial and transportation equipment dealerships. The company has interests in 73 dealerships in Canada, New Zealand and Australia, employing more than 1,700 people. The primary equipment brands represented by Cervus include John Deere agricultural equipment; Bobcat and JCB construction equipment; Clark, Sellick and Doosan material handling equipment; and Peterbilt transportation equipment. Cervus Equipment went public in 2000, and since 2003, the common shares of Cervus Equipment have been listed on the Toronto Stock Exchange and trade under the symbol "CVL."
About Evergreen Equipment Ltd.
Established in 1944 with its first John Deere dealership in Duchess, Evergreen Equipment Ltd. operates four John Deere dealerships across Alberta in Bassano, Brooks, Drumheller and Hanna. Each dealership sells new and used agricultural equipment and offers equipment parts and servicing. Since 2011, Evergreen Equipment has reported average gross revenue of more than $87 million per year. On October 15, 2014, Evergreen Equipment was acquired by Cervus Equipment, and will be rebranded to Cervus Equipment.
Forward Looking Information
This press release contains certain forward‐looking information ("forward‐looking information") within the meaning of applicable Canadian securities laws. Forward‐looking information is often, but not always, identified by the use of words such as "anticipate", "believe", "plan", "intend", "objective", "continuous", "ongoing", "estimate", "expect", "may", "will", "project", "should" or similar words suggesting future outcomes. Forward‐looking information is not a guarantee of future performance and involves a number of assumptions and a number of risks and uncertainties some of which are described herein. The future financial performance of Evergreen, and Cervus as a whole, will be subject to various risks and uncertainties which may cause their actual performance and financial results to differ materially from any projections of future performance or results expressed or implied by such forward looking information. These risks and uncertainties include the risks identified under the heading "Risk Factors – Risks Related to the Business" in the 2013 Annual Information Form of Cervus Equipment Corporation dated March 11, 2014 available electronically at www.sedar.com under Cervus' profile including but not limited to Evergreen's and Cervus' reliance on key manufacturers for the delivery of products, their respective dependence on the strength of sales to the agricultural sector, the seasonal and cyclical nature of the business, workforce availability and acquisition related risks such as effective and timely integration of Evergreen into Cervus' business operations. Cervus believes the expectations reflected in such forward‐ looking information are reasonable but no assurance can be given that these expectations will prove to be correct and such forward‐looking information should not be unduly relied upon. You are cautioned that the preceding list of assumptions and risks is not exhaustive. Any forward‐looking information is made as of the date hereof and, except as required by law, Cervus assumes no obligation to publicly update or revise such information to reflect new information, subsequent or otherwise.
The Toronto Stock Exchange does not accept responsibility for the adequacy or accuracy of this release.
SOURCE: Cervus Equipment Corporation
For further information: Graham Drake - President & CEO, Telephone: (403) 567-2095, Fax: (403) 567-0392, Email: [email protected]; Randy Muth - Chief Financial Officer, Telephone: (403) 567-2097, Fax: (403) 567-0392, Email: [email protected]