AutoCanada Inc T.ACQ

RECEIVES TSX APPROVAL FOR NORMAL COURSE ISSUER BID

[Betteryear2]

EDMONTON, AB, Dec. 20, 2021 /CNW/ - AutoCanada Inc. ("AutoCanada" or the "Company") (TSX: ACQ), a multi-location North American automobile dealership group, announced today that the Toronto Stock Exchange ("TSX") has accepted the Company's notice of intention to commence a normal course issuer bid ("NCIB") to purchase up to 1,730,321 common shares during the 12-month period commencing December 23, 2021 and ending December 22, 2022 or such earlier date as the Company may complete its purchases under the NCIB.

"AutoCanada's continuing strong operating and financial performance affords the Company the ability to simultaneously execute on our disciplined M&A strategy while repurchasing Company shares at what the Board of Directors believes to be a highly attractive valuation relative to the earnings of the Company," commented AutoCanada's Executive Chairman, Paul Antony.

[sunshine7]

Considering the large gap between current and target price, it is not surprising that they view this time to buy back shares. Thereis a large pent up demand for new vehicles but a supply crunch and hence high prices has this in a lull which should be reesolved in coming months. When it does, inventory turnovers will dramatically increase and financials will benefit.  Good time to get in IMO.

[OptsyEagle]

ACQ said on their conference call that due to the supply issues they had 15% of their 4th quarter new car sales SOLD before the quarter even got started.