Cervus Completes Sale of Its Four Alberta-Based Construction Dealerships
Strategy will focus on Scalability of Agriculture, Transportation and Industrial Dealership Groups
CALGARY, Alberta (March 19, 2018)
-- Cervus Equipment Corporation (“Cervus” or the “Company”) (TSX: CERV) today announced that it has completed the sale of its construction dealership group, composed of four dealership locations in Calgary, Red Deer, Edmonton and Fort McMurray, Alberta.
The transaction price is in excess of Cervus’ carrying value and includes the land and building at the Fort McMurray construction dealership. For the year ended December 31, 2017, the construction dealership group had revenue of $51.9 million and income before income tax expense of $2.5 million. As a result of the divestiture, Cervus’ Commercial and Industrial segment, which now sells Clark, Sellick and Doosan material handling equipment, will be referred to as the Industrial segment.
About Cervus Equipment Corporation
Cervus acquires and operates authorized agricultural, transportation and materials handling equipment dealerships. The Company has interests in 62 dealerships in Canada, New Zealand, and Australia, employing more than 1,500 people. The primary equipment brands represented by Cervus include John Deere agricultural equipment; Peterbilt transportation equipment; and Clark, Sellick and Doosan material handling equipment. The common shares of Cervus are listed on the Toronto Stock Exchange and trade under the symbol "CERV".
For more information please contact:
Graham Drake – President & CEO
Adam Lowther – Chief Financial Officer
The Toronto Stock Exchange does not accept responsibility for the adequacy or accuracy of this release.