MISSISSAUGA, ON, Nov. 12, 2021 /CNW/ - Westlake Services, LLC ("Westlake"), a wholly-owned subsidiary of Nowlake Technology, LLC ("Nowlake") announced on November 12, 2021 that it has acquired (the "Acquisition") an aggregate of 30,000,000 common shares ("Common Shares") at $0.50 per Common Share of Axis Auto Finance Inc. ("Axis" or the "Company"), (TSXV: AXIS), representing approximately 23% of the issued and outstanding Common Shares pursuant to the private placement of Axis disclosed in the Company's press release dated October 19, 2021 and filed on SEDAR (www.sedar.com).
Prior to the Acquisition, Westlake and its affiliates did not beneficially own or control any Common Shares. As a result of the Acquisition, Westlake beneficially owns and controls an aggregate of 30,000,000 Common Shares, representing approximately 23% of the issued and outstanding Common Shares. Westlake and an affiliate of Westlake, Nowcom Corporation ("Nowcom") are holders of convertible debentures of Axis (the "Debentures"). If the Debentures were converted in full, Westlake together with its affiliates would beneficially own and control an additional 1,888,000 Common Shares, representing approximately 1% of the issued and outstanding Common Shares. When aggregated with the 23% acquired by Westlake pursuant to the Acquisition, and upon conversion in full of the Debentures, Westlake together with its affiliates would own and control 31,188,000 Common Shares, representing approximately 24% of the issued and outstanding Common Shares based on the number of shares issued and outstanding on the date hereof.
Westlake has acquired the Common Shares for investment purposes. Westlake intends to review its investment in Axis on a continuing basis. Depending on various factors including, without limitation, Axis's financial position, the price levels of the securities, conditions in the securities markets and general economic and industry conditions, Westlake may in the future take such actions with respect to its investment in Westlake as it deems appropriate, including, without limitation and subject to applicable law, (i) increasing or decreasing its position in Axis through, among other things, the acquisition or disposition of securities of Axis through the open market, in privately negotiated transactions, subscriptions from treasury or otherwise, (ii) entering into transactions that increase or hedge its economic exposure to such securities without affecting its beneficial ownership of such securities, (iii) continuing to hold its current position and/or (iv) developing plans or intentions or taking actions which relate to or would result in one or more of the transactions referred to in items (a) to (k) of Item 5 of Westlake's early warning report filed on SEDAR.
Ian Anderson currently serves as president of Westlake. It is expected that Ian Anderson will be nominated by management of Axis to serve on its board of directors at Axis' next annual meeting of shareholders.
This press release is being issued pursuant to National Instrument 62-103 – The EarlyWarning System and Related Take-Over Bid and Insider Reporting Issues which requires a report to be filed under the Issuer's profile on SEDAR (www.sedar.com) containing additional information respecting the foregoing matters. A copy of such report may be obtained by contacting Ilja Troitschanski, President at Axis Auto Finance Inc., 55 Standish Court, 7th Floor, Mississauga, Ontario L5R 4B2.
About Westlake Services, LLC:
Westlake provides indirect financing solutions to thousands of automotive dealers throughout the United States, as well as offering auto loan refinancing, secured loans, and personal loans direct to consumer through LoanCenter.com, Westlake also offers third-party servicing for medium to large scale automotive, personal loan, and secured loan portfolios from finance companies, credit unions, and investments companies. Nowcom, LLC develops technology solutions for the automotive and financial services sectors, including Westlake.
Westlake is organized under the laws of the State of California.
SOURCE Westlake Services, LLC
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