Rocky Mountain Dealerships Inc.
TSX : RME

Rocky Mountain Dealerships Inc.

September 01, 2010 17:58 ET

Rocky Mountain Dealerships Inc. Announces Acquisition of Gateway Farm Equipment Ltd.

CALGARY, ALBERTA--(Marketwire - Sept. 1, 2010) - Rocky Mountain Dealerships Inc. ("Rocky Mountain" or the "Company") (TSX:RME) announced today that it has purchased 100% of the outstanding shares of Gateway Farm Equipment Ltd ("Gateway"), a Case IH agriculture dealership in Grande Prairie, Alberta. The Company issued 55,000 common shares of Rocky Mountain as part of the transaction. Gateway will operate as a branch location of Hi-Way Service Ltd. ("Hi-Way"), a wholly owned subsidiary of Rocky Mountain.

In its most recent fiscal year ended March 31, 2010, Gateway had top-line revenues of approximately $12.3 million. The Company intends, over the next 12 months, to combine the Gateway location with our existing Hi-Way construction equipment location in Grande Prairie, providing the scale and support needed to serve the northern Alberta market.

Including this branch, 18 locations have been added to Rocky Mountain since the initial public offering in December 2007 and bringing the Company's total number of branches to 31.

Commenting on the acquisition, Matt Campbell, Chairman and Chief Executive Officer of Rocky Mountain, said "The acquisition of Gateway gives us access to the northern Alberta agricultural community and combined with our Case construction business in Grande Prairie, we can be a dominant player in the region."

About Rocky Mountain

Rocky Mountain represents one of Canada's largest agriculture and construction equipment dealerships with a total of 31 dealership branches throughout Alberta, Saskatchewan and Manitoba. Rocky Mountain sells, rents, and leases new and used construction and agriculture equipment as well as offering product support and finance and insurance products to its customers.

Additional information on Rocky Mountain is available on our website at www.rockymtn.com and on SEDAR at www.sedar.com.

Issued: 18,332,849 shares

Contact Information

  • Rocky Mountain Dealerships Inc.
    M.C. (Matt) Campbell
    Chairman and Chief Executive Officer
    (403) 243-8600
    or
    Rocky Mountain Dealerships Inc.
    Brian Taschuk
    Chief Operating Officer
    (403) 243-8600
    or
    Rocky Mountain Dealerships Inc.
    Garrett Ganden
    Chief Financial Officer
    (403) 243-8600
    or
    Rocky Mountain Dealerships Inc.
    828 - 46th Avenue S.E.
    Calgary, Alberta T2G 2A6
    (403) 243-2264 (FAX)
    or
    Renmark Financial Communications Inc.
    Investor Relations
    John Boidman
    Vice President
    (514) 939-3989
    jboidman@renmarkfinancial.com