AUTOCANADA EXPANDS WESTERN MANITOBA WITH ACQUISITION OF KELLEHER FORD BODYWORK AND DEALERSHIP IN BRANDON, MANITOBA

EDMONTON, Alta., August 2, 2022 /CNW/ – AutoCanada Inc. (“AutoCanada” or the “Company”) (TSX: ACQ), a North American multi-location automotive dealership group, today announced the acquisition of Keller Forda dealer and bodybuilder of new and used Ford vehicles, located in BrandonManitoba.

AutoCanada Inc. Logo (CNW Group/AutoCanada Inc.)

“This high-quality operation is our second Ford dealership and initiates our presence in Western Manitoba – an attractive market for trucks, while offering the opportunity to further expand our market presence, said the Executive Chairman, Paul-Antoine. “We are happy to welcome the team of Keller Fordand we look forward to many opportunities for continued growth as we incorporate them into our strong dealer portfolio. »

Keller Ford is the largest Ford dealer in Western Manitoba, operating for over 25 years with facilities of over 35,000 square feet on seven acres, including a collision center. The current management team will continue to operate the business in the future. In addition to continuing to strengthen the dealership’s performance, the acquisition opens up additional growth opportunities, including the potential to expand AutoCanada’s business into used vehicles, finance and insurance, collision repair and Right Ride. The transaction includes the acquisition of the underlying property.

Financial Highlights

The acquired dealership, including the bodybuilder, generates more than $50 million in annual income. The transaction will be financed by drawing on the Company’s credit facility and is expected to be accretive to 2022 earnings.

About AutoCanada

AutoCanada is a leading North American multi-location automotive dealership group that currently operates 81 franchised dealerships, comprising 28 brands, in eight provinces across the Canada as well as a group Illinois, United States. AutoCanada currently sells Chrysler, Dodge, Jeep, Ram, FIAT, Alfa Romeo, Chevrolet, GMC, BuickCadillac, Ford, Infiniti, Nissan, Hyundai, Subaru, Audi, Volkswagen, Kia, Mazda, Mercedes-Benz, BMW, MINI, Volvo, Toyota, lincoln, Acura, Honda and Porsche. Additionally, the company’s Canadian operations segment currently operates 2 used vehicle dealerships supporting the used digital retail division, the RightRide division operates 9 locations and 5 self-contained collision centers (within our group of 20 collision centers). In 2021, our dealers sold approximately 86,000 vehicles and processed more than 800,000 service and collision repair orders at our 1,303 service bays generating revenues in excess of $4 billion.

Additional information about AutoCanada Inc. is available at www.sedar.com and on the Company’s website at www.autocan.ca.

Certain statements contained in this press release are forward-looking statements and information (collectively, “forward-looking statements”) within the meaning of applicable Canadian securities laws. 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 statement that expresses or implies discussions of expectations, beliefs, plans, goals, assumptions, or future events or performance (often, but not always, through the use of words or phrases such as “will result probably”, “are expected to”, “will continue”, “is planned”, “projection”, “vision”, “goals”, “objective”, “target”, “timings”, “outlook”, “anticipate”, “expect”, “estimate”, “could”, “should”, “plan”, “seek”, “may”, “intend”, “probable”, “should”, “believe” and similar expressions) are not historical facts and are forward-looking. In particular, this press release contains forward-looking statements regarding, among other things, the future operating results of the acquired dealerships, the successful integration of these dealerships into AutoCanada’s business and the growth of the company’s collision and F&I divisions. .

The forward-looking statements included in this press release are not guarantees of future performance and should not be relied upon unduly. Readers are cautioned that forward-looking statements are based on current expectations, estimates and projections which, by their nature, involve a number of known and unknown risks and uncertainties which could cause actual results actuals 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, events that disrupt the supply of vehicles or parts from OEMs AutoCanada’s financial condition and liquidity and duration of such impacts; potential changes in the regulatory and legislative environment; interest and tax rate volatility; operational risks inherent in the automotive retail industry; and changes in general economic conditions, including capital and credit markets.

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. Therefore, actual results or results may differ materially from those expressed in the forward-looking statements. In particular, in making its forward-looking statements, AutoCanada has made assumptions regarding, among other things, the future operating results of acquired dealerships, the successful integration of acquired dealerships into AutoCanada’s platform, growth opportunities of acquired dealerships and growth opportunities for our collision and RightRide divisions.

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 authorities (available on the SEDAR website at www.sedar.com) describe the risks, material assumptions and other factors that could affect 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 undertakes no obligation to publicly update or revise them to reflect new events or circumstances, except as may be required. under applicable securities laws.

SOURCEAuto Canada Inc.

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