AutoCanada has sold three B.C. automobile sales and repair dealerships for a combined price of $32.2 million.
The Edmonton-based dealership and collision-repair company sold Island Chevrolet Buick GMC in Duncan, B.C., Abbotsford Volkswagen in Abbotsford, B.C., and Chilliwack Volkswagen in Chilliwack, B.C. Buyer details were not disclosed.
The proceeds comprise $28.8 million for goodwill and fixed assets, excluding inventory and net working capital, and $3.4 million for real estate. AutoCanada said net proceeds will initially be used to repay its revolving credit facility, increasing financial flexibility and supporting future investment in higher-return growth opportunities.
In the trailing 12 months ended the first quarter of 2026, the three dealerships generated approximately $111 million in revenue and incurred a net loss of $1 million.
AutoCanada said the dealerships operated outside its core regional operating clusters, limiting opportunities to achieve operating scale and efficiency. The company said the assets did not meet its return thresholds and that the sale will allow it to reduce debt and invest in higher-return opportunities.
“This transaction reflects our disciplined approach to capital allocation,” said Samuel Cochrane, CEO of AutoCanada. “While we are committed to growing our dealership network across Canada, we will not tolerate assets that do not meet our long-term return objectives.
“Where we see a path to improved performance, we will act decisively to execute a turnaround. Where we do not, we will redeploy capital into opportunities that deliver stronger returns and greater value for our shareholders.”
AutoCanada operates 61 franchised dealerships in eight provinces across Canada comprised of 23 automotive brands, along with three independent used-vehicle dealerships. The company is in the process of selling its U.S. dealership portfolio, which bears the Leader Automotive Group label. AutoCanada also operate 37 collision-repair centres.
Pictured: AutoCanada‘s former Volkswagen dealership in Chilliwack, B.C.
Photo: Chilliwack Volkswagen