RE:This is not good right?
The announcement is closing the deal, not new news. I did not remember how long the buyers have to hold. /NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/ EDMONTON, July 11, 2014 /CNW/ - AutoCanada Inc. ("AutoCanada" or the "Company") (TSX:ACQ) is pleased to announce that it has closed its previously announced public offering of common shares. The Company issued 2,565,000 common shares from treasury at a price of $78.00 per share for gross proceeds of $200 million. Concurrently, Canada One Auto Group Ltd. and its subsidiaries (collectively, "CAG") sold, with the full exercise of the over-allotment option, an aggregate of 2,598,500 common shares at a price of $78.00 per share for gross proceeds of $203 million. Following completion of the offering, CAG owns approximately 9.6% of AutoCanada's issued and outstanding common shares. The Company will use the net proceeds of the treasury offering to reduce indebtedness under its revolving credit facility, which may subsequently be redrawn and applied as needed to fund future capital expenditures, including the potential acquisition of additional dealerships, and for general corporate and working capital purposes. The Company did not receive any proceeds from the secondary offering. The offering was underwritten by a syndicate of underwriters led by RBC Capital Markets and Scotiabank and included Clarus Securities Inc., Canaccord Genuity Corp., Cormark Securities Inc., GMP Securities L.P., HSBC Securities (Canada) Inc. and CIBC World Markets Inc. This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities of AutoCanada in the United States. The common shares described in this press release have not been and will not be registered under the United States Securities Act of 1933, as amended, or the securities laws of any state and may not be offered, sold or delivered in the United States absent an exemption from registration. About AutoCanada AutoCanada is one of Canada's largest multi-location automobile dealership groups, currently operating 42 franchised dealerships in eight provinces and has approximately 2,000 employees. AutoCanada currently sells Chrysler, Dodge, Jeep, Ram, Fiat, Chevrolet, GMC, Buick, Cadillac, Infiniti, Nissan, Hyundai, Subaru, Mitsubishi, Audi, Volkswagen, BMW and MINI branded vehicles. In 2013, our dealerships sold approximately 36,000 vehicles and processed approximately 364,000 service and collision repair orders in our 381 service bays during that time. Additional information about AutoCanada Inc. is available at www.sedar.com and the Company's website at www.autocan.ca.