EDMONTON, Oct. 13, 2017 /CNW/ - AutoCanada Inc. (TSX: ACQ), one of Canada's largest multi-location automobile dealership groups, today announced that it has entered into an agreement to purchase 90% of the issued and outstanding shares of Planète Mazda, which has operated in the greater Montréal region for close to 30 years.

The acquisition is the first Mazda dealership for AutoCanada and becomes its 23^rd brand. Planète Mazda is located a short distance from Montréal on the north shore in Mirabel, bringing the number of AutoCanada dealerships in the region to four.

"This is a very important acquisition for AutoCanada," said Steven J. Landry, President & CEO of AutoCanada Inc. "The Loiselle family has established a strong presence in the area and we look forward to partnering with Sylvain Loiselle and the entire Planète Mazda team to accelerate their growth. The acquisition marks the addition of a new brand to our portfolio and the start of our relationship with Mazda Canada. It advances our strategy of adding new brands in metropolitan areas to expand and diversify our dealer network and drive sustainable long-term growth."

"Mazda is pleased to welcome AutoCanada to our group of dealers," said Dave Klan, Senior Director, Sales, Marketing & Regional Operations of Mazda Canada Inc. "It is acquiring a well-performing dealership in a key market for us. The Loiselle's have built a wonderful facility and have been an important part of the Mazda family in Canada for years. With Sylvain Loiselle remaining as dealer principal, as well as the addition of a talented team at AutoCanada, we see great things ahead for Mazda with this change in ownership."

As part of the transaction AutoCanada will lease the Dealership lands, including a 35,000 square foot facility, 18 car showroom and 22 service bays. In 2016, the Dealership retailed 1,059 new and used vehicles. The transaction is subject to customary closing conditions and approvals and is expected to close within 30 days.

About AutoCanada Inc.

AutoCanada is Canada's largest volume automobile dealership group; currently operating 57 franchised dealerships, comprised of 65 franchises, in eight provinces and has over 4,500 employees. AutoCanada currently sells Chrysler, Dodge, Jeep, Ram, FIAT, Alfa Romeo, Chevrolet, GMC, Buick, Cadillac, Infiniti, Nissan, Hyundai, Subaru, Mitsubishi, Audi, Volkswagen, Kia, BMW, MINI, Mercedes-Benz, and Smart branded vehicles. In 2016 with $2.9 billion revenue, our dealerships sold approximately 60,000 vehicles and processed approximately 864,000 service and collision repair orders in 928 service bays.

Additional Information

Additional information about AutoCanada is available at the Company's website at www.autocan.ca and www.sedar.com.

SOURCE AutoCanada Inc.