NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES
EDMONTON, May 14, 2014 /CNW/ - AutoCanada Inc. ("AutoCanada") (TSX:ACQ)
announced today that it has priced a private offering of $150 million
aggregate principal amount of 5.625% senior unsecured notes due May 25,
2021 (the "Notes"). The Notes will be issued at par. AutoCanada intends
to use the net proceeds from the offering to repay all of the
outstanding indebtedness under its existing syndicated credit facility
and for general corporate purposes. The offering is expected to close
on May 22, 2014.
The offering is being underwritten by RBC Capital Markets and
Scotiabank, as joint bookrunning managers, in a syndicate that includes
HSBC Securities (Canada) Inc., Clarus Securities Inc., CIBC World
Markets Inc., Canaccord Genuity Corp., Cormark Securities Inc. and GMP
Securities L.P.
The Notes will be sold in Canada on a private placement basis pursuant
to certain prospectus exemptions. The Notes will be sold in the United
States and to U.S. Persons only to "qualified institutional buyers" in
accordance with Rule 144A under the United States Securities Act of
1933, as amended (the "Securities Act"), and outside the United States
to persons other than U.S. Persons in reliance on Regulation S under
the Securities Act. The offer and sale of the Notes will not be
registered under the Securities Act or any state securities laws and
the Notes may not be offered or sold in the United States or to, or for
the account or benefit of, U.S. Persons, absent registration or an
applicable exemption from the registration requirements of the
Securities Act and applicable state securities laws.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy the Notes, nor shall there be any offer
or sale of the Notes in any jurisdiction in which such offer,
solicitation or sale would be unlawful.
About AutoCanada
AutoCanada is one of Canada's largest multi-location automobile
dealership groups, operating 34 franchised dealerships in seven
provinces and has approximately 1,600 employees. AutoCanada currently
sells Chrysler, Dodge, Jeep, Ram, FIAT, Chevrolet, GMC, Buick,
Cadillac, Infiniti, Nissan, Hyundai, Subaru, Mitsubishi, Audi and
Volkswagen branded vehicles. In 2013, AutoCanada dealerships sold
approximately 36,000 vehicles and processed approximately 364,000
service and collision repair orders in its 381 service bays during that
time.
Additional information about AutoCanada is available at www.sedar.com and on its website at www.autocan.ca.
Forward Looking Statements
This press release contains forward-looking statements and
forward-looking information within the meaning of applicable securities
laws. All statements other than statements of historical fact contained
in this press release may be forward-looking statements and
forward-looking information. In particular, forward-looking information
and statements in this press release include, but are not limited to,
the timing and completion of the offering of Notes and the use of the
net proceeds from the offering. These forward-looking statements and
information are based on certain key expectations and assumptions made
by AutoCanada, including the assumption that the offering will be
completed. Although AutoCanada believes that the expectations and
assumptions on which such forward-looking statements and information
are based are reasonable, undue reliance should not be placed on the
forward-looking statements and information as AutoCanada cannot give
any assurance that they will prove to be correct. Since forward-looking
statements and information address future events and conditions, by
their very nature they involve inherent risks and uncertainties. Actual
results could differ materially from those currently anticipated due to
a number of factors and risks. These include, but are not limited to,
the risk that the offering of Notes will not be completed as proposed
or at all and general economic, market and business conditions. Readers
are cautioned that the foregoing list of risks and uncertainties is not
exhaustive. Additional information on these and other risk factors that
could affect AutoCanada's operations, financial results and the
completion of the offering are included in AutoCanada's annual
information form and the other disclosure documents filed by AutoCanada
with securities regulatory authorities which may be accessed through
the SEDAR website at www.sedar.com. The forward-looking statements and
information contained in this press release are made as of the date
hereof and AutoCanada does not undertake any obligation to update
publicly or revise any forward-looking statements or information,
whether as a result of new information, future events or otherwise,
unless so required by applicable securities laws.
SOURCE AutoCanada Inc.
