-- AutoCanada (ACQ.TO) Monday said it completed the sale of Hyundai of Lincolnwood, in Lincolnwood, Illinois, which was a part of the U.S. dealerships reclassified as discontinued operations at year-end 2024.
The company said it received about $3.3 million in cash for goodwill and fixed assets, excluding inventory and net working capital. Proceeds will be directed towards reducing the outstanding balance of its revolving credit facility.
"The sale of Hyundai Lincolnwood represents further advancement in the Company's strategy to divest its U.S. Operations segment, enhance overall profitability, and lower leverage," said AutoCanada in a statement.
"Following the classification of the U.S. segment as discontinued operations at the end of 2024, the Company has realized approximately $65.8 million in gross proceeds, net of working capital, from the divestiture of U.S. assets."
AutoCanada said it continues to expect proceeds from the sale of all its U.S. dealerships to be at the upper end of its previously disclosed $115 million to $130 million range. The U.S. dealership portfolio generated a net loss from discontinued operations of $103.4 million in 2024.
Shares of the company closed up 1.8% to $21.1 on Friday on the Toronto Stock Exchange.