EDMONTON, June 6, 2017 /CNW/ - AutoCanada Inc.
("AutoCanada" or the "Company") (TSX:ACQ) is pleased to announce
that it has received approval from the Toronto Stock Exchange
("TSX") to commence a normal course issuer bid to purchase its
common shares on the open market in accordance with the rules of
the TSX or under applicable law.
Pursuant to the normal course issuer bid, AutoCanada may acquire
up to 1,372,984 of AutoCanada's common shares ("Common Shares"),
representing approximately 5% of the issued and outstanding Common
Shares of the Company. Subject to certain prescribed exemptions and
any block purchase made in accordance with the rules of the TSX,
daily purchases will be limited to 24,247 Common Shares, which is
equal to 25% of the average daily trading volume of 96,990 during
the last six months.
AutoCanada is authorized to make purchases during the period of
June 8, 2017 to June 7, 2018 or until such earlier time as the
normal course issuer bid is completed or terminated at the option
of AutoCanada. Purchases of Common Shares will be made in open
market transactions on the TSX or through alternative trading
systems. AutoCanada may also purchase Common Shares through private
agreements or share repurchase programs if it receives an issuer
bid exemption order permitting it to make such purchases. Any
purchases of Common Shares made by way of private agreements or
under share repurchase programs may be at a discount to the
prevailing market price as provided in the relevant issuer bid
exemption order. As of June 1, 2017,
AutoCanada had 27,459,683 outstanding Common Shares.
Decisions regarding the timing of future purchases of Common
Shares will be based on market conditions, share price and other
factors. AutoCanada may elect to suspend or discontinue its normal
course issuer bid at any time. Common Shares acquired under the
normal course issuer bid will be cancelled. AutoCanada believes
that the market price of Common Shares could be such that their
purchase may be an attractive and appropriate use of corporate
funds.
From time to time, when AutoCanada does not possess material
non-public information about itself or its securities, it may enter
into a pre-defined plan with its broker to allow for the purchase
of Common Shares at a time when AutoCanada ordinarily would not be
active in the market due to its own internal trading blackout
period and insider trading rules. Any such plans entered into with
AutoCanada's broker will be adopted in accordance with the
requirements of applicable Canadian securities laws.
About AutoCanada
AutoCanada is one of Canada's
largest multi-location automobile dealership groups, currently
operating 57 franchised dealerships, comprised of 65 franchises, in
eight provinces and has over 4,250 employees. AutoCanada currently
sells Chrysler, Dodge, Jeep, Ram, FIAT, Chevrolet, GMC,
Buick, Cadillac, Infiniti, Nissan,
Hyundai, Subaru, Mitsubishi, Audi, Volkswagen, Kia, Mercedes-Benz,
BMW and MINI branded vehicles. In 2016 with $2.9 billion in revenue, our dealerships sold
approximately 60,000 vehicles and processed approximately 864,000
service and collision repair orders in our 928 service bays.
Additional information about AutoCanada Inc. is available at
www.sedar.com and the Company's website at www.autocan.ca.
SOURCE AutoCanada Inc.