AutoCanada Announces Results of its Substantial Issuer Bid

EDMONTON, AB, Dec. 19, 2022 /CNW/ - AutoCanada Inc. ("AutoCanada" or the "Company") (TSX: ACQ) announced today the results of its substantial issuer bid to purchase up to $50,000,000 in value of its…

AutoCanada Announces Results of its Substantial Issuer Bid

EDMONTON (AB), Dec. 19, 2022 /CNW/ – AutoCanada Inc. ("AutoCanada") (TSX. ACQ: AutoCanada) today announced the results of its substantial offer to buy up to $50,000,000 worth of common shares from its shareholders. The bid expired on December 16, 2022.

The Company plans to purchase 1,851,851 shares and pay $27.00 per share. This represents a total purchase price of $49999,977, and 7.29% of all outstanding shares prior to the effective date of the bid. AutoCanada anticipates that there will be 23,551,137 outstanding shares after the bid is effective.

Auction tenders below or equal to the purchase price or purchase-price tenders resulted in 2,280,595 shares being offered. The bid was highly competitive. Shareholders who submitted auction tenders at or below purchase price tenders or purchase price tenders will see 81.17% of their tender shares purchased by the Company (other then "odd lot" tenders which are not subjected to proration). Computershare Investor Services Inc. will return any shares that are not purchased under the bid (including shares not bought as a result proration or shares offered pursuant to auction tenders at higher prices than the purchase price) as soon as possible.

The depositary will make payment for the purchase of shares and settle them on or before December 23, 2022. For purposes of subsection 191(4), the Income Tax Act (Canada), the "specified amount" is $25.23 for each share. This price was the closing price of shares on the Toronto Stock Exchange on Dec 16, 2022. For Canadian federal and provincial dividend credit purposes, the deemed dividends that result from the sale of shares pursuant to the bid are eligible dividends.

AutoCanada's offer to buy and issuer bid circular dated November 11, 2022 and the associated letter of transmittal, notice of guaranteed delivery are details of the issuer bidding. Copies of these documents are available at URL.

This press release does not constitute an offer or solicitation to buy shares.

Computershare Investor Services Inc. can be reached at: EMAIL if you have any questions or require information about the bid.


AutoCanada, a North American multi-location dealership group, currently operates 82 franchised dealerships. It includes 28 brands in eight provinces of Canada and one in Illinois, USA. AutoCanada currently sells Chrysler Dodge, Jeep and Ram, FIAT. Alfa Romeo. Chevrolet, GMC. Buick. Cadillac, Ford. Infiniti. Nissan. Hyundai. Subaru. Audi. Volkswagen. Kia. Mazda. Mercedes-Benz. BMW. MINI. Volvo. Toyota. Lincoln. Acura. Honda. Porsche branded vehicles. AutoCanada's Canadian Operations segment also operates three used vehicle dealers and one used vehicle auction company supporting the Used Digital Retail Division. It also has 11 RightRide locations and nine standalone collision centres within its group of 24 collision centers. Our 1,303 service bays generated revenue of over $4 billion and sold 86,000 vehicles.

Further information on AutoCanada can be found at URL or URL.

Forward-Looking Information

Certain statements in this press release may be forward-looking statements or information, as defined by applicable Canadian securities legislation. These forward-looking statements are subject to important risks and uncertainties that could lead to material differences in actual results. Statements that discuss, or express expectations, beliefs or plans, objectives or future performance (often through the use words or phrases like "will likely result"," "are expected to", and "will continue", and "is anticipated to", and "will continue to", and "projection", and "projection", and "goals", and "outlook", and "project", and "anticipate", and "estimate", and "should", and "seek", and "anticipate", and "could", and "will", and similar expressions This press release contains forward-looking statements. These statements include information about the Company's bid to purchase shares pursuant the bid and when payment will be made.

Forward-looking statements in this press release do not guarantee future performance and should not to be relied upon. Forward-looking statements are based upon current expectations, estimates, and projections. Because they are based on present expectations, projections, and are not guarantees of future performance, forward-looking statement could have materially different results from those projected and described in forward-looking information. These unknown and known risks and uncertainties include but are not limited: future operating results; the impact of the COVID-19 Pandemic on our operations; events that disrupt vehicle or parts supply to AutoCanada OEMs; financial condition and liquidity and duration of such impacts; possible changes in the regulatory-legislative environment; volatility of interest and tax rates; operating risk inherent in the automotive retail sector; and changes to general economic conditions, including capital markets.

Forward-looking statements are based on assumptions and estimates. They are also subject to uncertainties, risks and other factors that are difficult to predict and beyond our control. Actual results and outcomes could differ materially from the ones expressed in forward-looking statements. AutoCanada made assumptions about, among others, the information it received from the depositary regarding the bid, when presenting its forward looking statements.

AutoCanada warns that the above list of assumptions, uncertainties and risks is not complete. The Annual Information Form of the Company and any other documents filed with securities regulatory agencies (accessible at ___URL) describe the risks, material assumptions, and other factors that could affect actual results. These documents are included by reference. AutoCanada does not assume any obligation to revise or update forward-looking statements in this press release to reflect changes or circumstances.

SOURCE AutoCanada Inc.

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