EDMONTON, AB, Dec. 22,
2022 /CNW/ - AutoCanada Inc. ("AutoCanada" or the
"Company") (TSX: ACQ), a multi-location North American automobile
dealership group, announced today that it has received approval
from the Toronto Stock Exchange ("TSX") for the renewal of its
normal course issuer bid ("NCIB"), Pursuant to the NCIB, AutoCanada
may purchase up to 1,350,048 common shares during the 12-month
period commencing December 28, 2022 and ending December 27, 2023 or such earlier date as
the Company may complete its purchases under the NCIB.
The renewal of the NCIB follows on the conclusion of
AutoCanada's previous NCIB that expired today. From December 23, 2021 to December 22, 2022, AutoCanada purchased 1,730,321
common shares at a weighted average price of $32.70 per common share. The renewal of the NCIB
also follows on the Company's substantial issuer bid that expired
on December 16, 2022 with the results
of the substantial issuer bid having been announced on December 19, 2022. As a result of AutoCanada's
recent substantial issuer bid, AutoCanada is prohibited pursuant to
section 2.5 of National Instrument 62-104 Take-Over Bids and
Issuer Bids from acquiring any common shares until January 19, 2023.
The number of common shares authorized for purchase under the
NCIB represents 10% of AutoCanada's public float as of December 20, 2022 (calculated in accordance with
TSX rules). Purchases will be made through the facilities of the
TSX and/or alternative Canadian trading systems at prevailing
market prices in accordance with the rules and policies of the TSX
and applicable securities laws. Daily repurchases will be limited
to a maximum of 21,695 common shares, representing 25% of the
average daily trading volume for the six months ended November 30, 2022 (being 86,781 common shares),
except where purchases are made in accordance with the "block
purchase exception" of the TSX rules. All common shares purchased
under the NCIB will be cancelled.
Although the Company has a present intention to acquire its
common shares pursuant to the NCIB, the Company will not be
obligated to make any purchases and purchases may be suspended by
the Company at any time. The Company reserves the right to
terminate the NCIB earlier if it feels it is appropriate to do
so.
About AutoCanada
AutoCanada is a leading North American multi-location automobile
dealership group currently operating 82 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, com Audi, Volkswagen, Kia, Mazda,
Mercedes-Benz, BMW, MINI, Volvo, Toyota, Lincoln, Acura, Honda and Porsche branded
vehicles. In addition, AutoCanada's Canadian Operations segment
currently operates three used vehicle dealerships and one used
vehicle auction business supporting the Used Digital Retail
Division, 11 RightRide division locations, and nine stand-alone
collision centres within our group of 24 collision centres. In
2021, our dealerships sold approximately 86,000 vehicles and
processed over 800,000 service and collision repair orders in our
1,303 service bays generating revenue in excess of $4 billion.
Additional information about AutoCanada is available at
www.autocan.ca and www.sedar.com.
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, the intention to purchase
common shares under the NCIB, including the number of common shares
to be purchased.
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: future operating
results, the impact of the COVID-19 pandemic on our operations,
financial condition and liquidity and the duration of such impacts;
potential changes in the regulatory and legislative environment;
volatility in interest and tax rates; operating risks inherent in
the automotive retail industry; and changes in general economic
conditions including the capital and credit markets all of which
may affect the Company's ability to or decision to purchase common
shares under its NCIB.
Forward-looking statements involve estimates and assumptions
and are subject to risks, uncertainties and other factors some of
which are beyond our control and difficult to predict. Accordingly,
actual results or outcomes may differ materially from those
expressed in the forward-looking statements.
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.sedar.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.
SOURCE AutoCanada Inc.