CALGARY, Dec. 21, 2016 /CNW/ - Cervus Equipment Corporation ("Cervus" or the "Company") (TSX: CVL) today announced that it has sold its 21.449% interest in Maple Farms Partnership ("Maple") to the majority partner for gross proceeds of approximately $9.1 million. Maple Farm Equipment operates seven John Deere Agricultural equipment dealerships in southeastern Saskatchewan and western Manitoba. Cervus also owned the land and buildings on which Maple Farms operates one of its John Deere dealerships. This building was also sold to Maple, for gross proceeds of approximately $1.7 million. In the short term, proceeds on sale will be utilized to reduce Cervus' borrowings.
"Our intention is to invest our capital where we can realize operational synergies to directly and positively impact markets through our influence or control of dealership operations," says Graham Drake, President & CEO, Cervus Equipment. "This decision was made with much consideration and discussion with our partners. We have enjoyed and benefited from our six-year relationship with Maple and wish them every success in the future."
About Cervus Equipment Corporation
Cervus acquires and operates authorized agricultural, construction, materials handling and transportation equipment dealerships. The Company now has 100% ownership interests in 66 dealerships in Canada, New Zealand and Australia. 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. The common shares of Cervus are listed on the Toronto Stock Exchange and trade under the symbol "CVL".
The Toronto Stock Exchange does not accept responsibility for the adequacy or accuracy of this release.
SOURCE Cervus Equipment Corp.