Dilawri Announces Acquisition of Trust Units of Automotive Properties Real Estate Investment Trust

/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES./

TORONTO, Dec. 23, 2019 /CNW/ - 893353 Alberta Inc. ("Dilawri") announced today that it has acquired, through certain of its subsidiaries, pursuant to the exercise of its contractual pre-emptive rights, 1,800,000 trust units ("Units") of Automotive Properties Real Estate Investment Trust (the "REIT") through the REIT's previously-announced bought deal public offering (the "Offering"), representing approximately 4.8% of the issued and outstanding Units of the REIT (after giving effect to the Units issued today by the REIT in connection with the Offering). The acquisition by Dilawri of the Units brings Dilawri's total holdings of such securities to 2,280,552 Units (or approximately 6.0% of all outstanding Units). The Units were purchased as part of the Offering through a syndicate of underwriters co-led by TD Securities Inc., BMO Capital Markets and Scotiabank at a price of $11.65 per Unit, for an aggregate purchase price of $20,970,000.

Before giving effect to the Offering, Dilawri beneficially owned, and exercised control or direction over, 480,552 Units, representing approximately 1.6% of the REIT's issued and outstanding Units, and 9,933,253 class B limited partnership units ("Class B LP Units") of Automotive Properties Limited Partnership (the "Partnership"), the operating subsidiary of the REIT, representing 100% of the issued and outstanding Class B LP Units, together with 9,933,253 special voting units ("Special Voting Units") of the REIT, representing 100% of the issued and outstanding Special Voting Units. The Class B LP Units are economically equivalent to and exchangeable on a one-for-one basis for Units (subject to customary anti-dilution protections). Through its ownership of the Units and Class B LP Units, prior to giving effect the Offering, Dilawri held an approximate 26.2% effective interest in the REIT on a fully-diluted basis. As a result of the Offering, Dilawri now beneficially owns, and exercises control or direction over, 2,280,552 Units, representing approximately 6.0% of the REIT's issued and outstanding Units, and 9,933,253 Class B LP Units, representing 100% of the issued and outstanding Class B LP Units. Through its ownership of the Units and Class B LP Units, following completion of the Offering, Dilawri holds an approximate 25.6% effective interest in the REIT on a fully-diluted basis.

The Units were acquired by Dilawri for investment purposes. Dilawri may determine to purchase additional Units in the open market or otherwise or sell all or some of the Units, depending upon price, market conditions, availability of funds, evaluation of alternative investments and other factors.

An early warning report will be filed by Dilawri in accordance with applicable securities laws and will be available on SEDAR at www.sedar.com or may be obtained directly from James Matthews, Chief Financial Officer of Dilawri upon request at the telephone number below.

About Dilawri Group of Companies
Dilawri Group of Companies is Canada's largest automotive group with 72 franchised dealerships representing 30 automotive brands throughout Quebec, Ontario, Saskatchewan, Alberta, and British Columbia. Privately owned and operated by the Dilawri family since 1985, the company continues to expand its footprint in Canada, building on its history of excellence in the automotive industry. With more than 4,000 employees, Dilawri Group of Companies is proud to offer exceptional products and customer service in every dealership.

SOURCE 893353 Alberta Inc.

James Matthews, Chief Financial Officer, Dilawri Group of Companies, Tel: [phone], 87 Front Street East, Suite 300, Toronto, Ontario, M5E 1B8