AutoCanada Inc. Announces OEM Approval for Purchase of St. James Audi and St. James Volkswagen
EDMONTON, March 28, 2013 /PRNewswire/ - AutoCanada Inc. ("AutoCanada" or the "Company") (TSX: ACQ) announced today that it has obtained approval from Audi Canada and Volkswagen Canada to purchase the shares of The St. James Group of Companies ("St. James"), which own and operate two premium brand franchises, Audi and Volkswagen, located in Winnipeg, Manitoba. Each of the two franchises are equipped with a six car showroom and are located adjacent to each other on a property owned by St. James. The two franchises share a collision center and service department consisting of 27 service bays. In 2012, the franchises retailed a combined 642 new vehicles and 252 used vehicles. The expected closing date for the transaction is April 1, 2013.
"The approval from Audi Canada represents the addition of a new and storied brand to our portfolio, and we are most pleased with this development. We would also like to thank Volkswagen Canada for their continued support by approving the purchase of the Volkswagen franchise, a brand with which we have developed a strong partnership over the past three years and which we consider a key partner." stated Pat Priestner, Chief Executive Officer of AutoCanada.
"St. James has developed a strong reputation throughout its forty year history in Winnipeg. We would like to thank the current owners, Russ, Rick and Melanie for selecting our group for succession. The St. James Group is well respected in the industry and in 2011 was awarded the prestigious VW Wolfsberg Crest Club Award for overall excellence in sales, service, and customer service; an award that the current management team should be very proud of and something we will continue to strive to achieve." stated Mr. Priestner.
AutoCanada is one of Canada's largest multi-location automobile dealership groups, currently operating 28 franchised dealerships in six provinces and has over 1,200 employees. AutoCanada currently sells Chrysler, Dodge, Jeep, Ram, FIAT, Chevrolet, GMC, Buick, Infiniti, Nissan, Hyundai, Subaru, Mitsubishi, and Volkswagen branded vehicles. In 2012, our dealerships sold approximately 30,000 vehicles and processed approximately 309,000 service and collision repair orders in our 333 service bays during that time.
SOURCE AutoCanada Inc.