TORONTO, April 6,
2022 /CNW/ - Axis Auto Finance Inc. ("Axis" or the
"Company") (TSXV: AXIS), is pleased to announce that, effective at
the opening of trading on April 7,
2022, the Company's common shares will trade on the Toronto
Stock Exchange under the symbol "AXIS". Effective at the end
of trading on April 6, 2022, the
Common Shares will be de-listed from the TSX Venture
Exchange.
Business Update: Technology driven growth
Axis is a fintech lender changing the way Canadians buy and
finance used vehicles. Through its direct-to-consumer
("D2C") portal, DriveAxis.ca, users can choose their next
used vehicle, customize financing terms and get the car delivered –
from the comfort of their home. In addition, the Company continues
to grow B2B non-prime auto loan originations by delivering
innovative technology solutions and superior service to its Dealer
Partner Network.
D2C – the future of auto retail
Launched in late 2021, DriveAxis.ca is a fully digital
e-commerce solution transforming the used car buying experience.
Customers have access to thousands of vehicles, can get instantly
approved for financing and have the car delivered, all without
leaving their home.
As demonstrated by the US market, digital retail is the next
step in the evolution of car buying. Based on the successful launch
of the Ontario pilot, Axis expects
D2C originated loans to become a significant part of its portfolio
going forward.
B2B originations continue to grow
Axis continues to set loan origination records through its
coast-to-coast Canadian Dealer Partner network. At the end of 2021,
the auto loan portfolio balance was at a record $197M, an increase of 29% year-over-year. Axis
expects loan originations to continue to accelerate as Canada exits the remaining COVID
restrictions.
Massive, highly fragmented market
Used car retail is a $40+ billion market in Canada with less than 1% e-commerce adoption.
With 85% of retail transactions being financed, there are abundant
organic growth and tuck-in acquisition opportunities for Axis.
Fiscal strength allows for continued growth
With $6 million in adjusted
earnings for fiscal 2021, Axis is a profitable fintech company. The
Company's $120 million revolving
borrowing facility provides ample room for portfolio growth and the
$15 million equity investment by
Westlake Financial completed in November
2021 has further strengthened the balance sheet.
About Axis Auto Finance
Axis is a financial technology company changing the way
Canadians buy and finance used vehicles. Through our
direct-to-consumer portal, DriveAxis.ca, customers can choose their
next used vehicle, arrange financing and get the car delivered to
their home. In addition, the company continues to grow B2B
non-prime auto loan originations by delivering innovative
technology solutions and superior service to its Dealer Partner
Network. All Axis auto loans report to Equifax, resulting in over
70% of customers seeing a significant improvement of their credit
scores. Further information on the Company can be found at
https://www.axisfinancegroup.com/investors-press-releases/.
The TSX Venture Exchange has neither approved nor disapproved
the contents of this press release. Neither the Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the Exchange) accepts responsibility for the adequacy
or accuracy of this release.
SOURCE Axis Auto Finance Inc.