VANCOUVER, BC, April 29,
2022 /CNW/ - Ritchie
Bros. Auctioneers (NYSE: RBA) and (TSX: RBA)
("Ritchie Bros." or the "Company"),
a leading global asset management, disposition, and services
company today announced that its wholly owned indirect subsidiary,
Ritchie Bros. UK Holdings Ltd. ("RB
Purchaser") is discontinuing the Phase 2 review by the UK
Competition and Markets Authority (the "CMA"). The Sale and
Purchase Agreement dated August 9,
2021 (the "Agreement") pursuant to which the RB Purchaser
had agreed to purchase Euro Auctions Limited, William Keys & Sons Holdings Limited,
Equipment & Plant Services Ltd and Equipment Sales Ltd. will
automatically terminate on June 28,
2022.
The decision follows the referral of the proposed acquisition to
a Phase 2 review by the CMA. Amongst other things, completion
of the Agreement is conditional on receipt of clearance from the
CMA on terms satisfactory to the RB Purchaser, but after extensive
consideration the RB Purchaser does not believe there is any
realistic prospect for approval by the CMA on such terms given the
significant concerns raised by the CMA to date.
The Company intends to issue redemption notices with respect to
the US$600 million aggregate
principal amount of 4.750% senior notes due 2031 and the
C$425 million aggregate principal
amount of 4.950% senior notes due 2029 previously issued to finance
a portion of the cash consideration for the proposed acquisition
and expects to complete the redemptions within 10 business
days.
Ann Fandozzi, the Company's Chief
Executive Officer, said: "We are disappointed by the decision taken
by the CMA to refer the proposed acquisition to a Phase 2 review
and respectfully disagree with their views. While we believe
the proposed acquisition would have accelerated our strategy, we
remain committed to forging ahead in our transformational journey
to become the trusted global marketplace for insights, services and
transaction solutions. We will continue to seek out and
execute on organic investments and key acquisitions to accelerate
our pace in achieving our ultimate vision."
About Ritchie Bros.:
Established in 1958, Ritchie
Bros. (NYSE and TSX: RBA) is a global asset management and
disposition company, offering customers end-to-end solutions for
buying and selling used heavy equipment, trucks and other assets.
Operating in a number of sectors, including construction,
transportation, agriculture, energy, mining, and forestry, the
company's selling channels include: Ritchie
Bros. Auctioneers, the world's largest industrial auctioneer
offering live auction events with online bidding; IronPlanet, an
online marketplace with weekly featured auctions and providing the
exclusive IronClad Assurance® equipment condition certification;
Marketplace-E, a controlled marketplace offering multiple price and
timing options; Ritchie List, a
self-serve listing service for North
America; Mascus, a leading European online equipment
listing service; Ritchie Bros.
Private Treaty, offering privately negotiated sales; and
sector-specific solutions GovPlanet, TruckPlanet, and Kruse Energy.
The Company's suite of solutions also includes Ritchie Bros. Asset Solutions and Rouse Services
LLC, which together provides a complete end-to-end asset
management, data-driven intelligence and performance benchmarking
system; SmartEquip, an innovative technology platform that supports
customers' management of the equipment lifecycle and integrates
parts procurement with both OEMs and dealers; plus equipment
financing and leasing through Ritchie
Bros. Financial Services. For more information about
Ritchie Bros., visit
RitchieBros.com.
Caution Regarding
Forward-Looking Statements
This news release contains forward-looking statements and
forward-looking information within the meaning of applicable U.S.
and Canadian securities legislation (collectively, "forward-looking
statements"), including, in particular, statements regarding the
timing of the redemption of the senior notes future growth
initiatives, acquisitions and other opportunities for Ritchie Bros., future financial and operational
results, personnel matters and any other statements regarding
events or developments that Ritchie
Bros. believes or anticipates will or may occur in the
future. Forward-looking statements are statements that are not
historical facts and are generally, although not always, identified
by words such as "expect", "plan, "anticipate", "project",
"target", "potential", "schedule", "forecast", "budget",
"estimate", "intend" or "believe" and similar expressions or their
negative connotations, or statements that events or conditions
"will", "would", "may", "could", "should" or "might" occur. All
such forward-looking statements are based on the opinions and
estimates of management as of the date such statements are made.
Forward-looking statements necessarily involve assumptions, risks
and uncertainties, certain of which are beyond Ritchie Bros.' control, including risks and
uncertainties related to: general economic conditions and
conditions affecting the industries in which Ritchie Bros. operates; deterioration of or
instability in the economy, the markets we serve or the financial
markets generally; currency fluctuations; as well as the risks and
uncertainties set forth in Ritchie
Bros.' Annual Report on Form 10-K for the year ended
December 31, 2021, which is available
on the SEC, SEDAR, and Ritchie
Bros.' websites. The foregoing list is not exhaustive of the
factors that may affect Ritchie
Bros.' forward-looking statements. There can be no assurance
that forward-looking statements will prove to be accurate, and
actual results may differ materially from those expressed in, or
implied by, these forward-looking statements. Forward-looking
statements are made as of the date of this news release and
Ritchie Bros. does not undertake any
obligation to update the information contained herein unless
required by applicable securities legislation. For the reasons set
forth above, you should not place undue reliance on forward-looking
statements.
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content:https://www.prnewswire.com/news-releases/ritchie-bros-announces-discontinuation-of-euro-auctions-acquisition-301536061.html
SOURCE Ritchie Bros.
Auctioneers