Strategically expands U.S. footprint into Tennessee
TORONTO, January 31, 2020/CNW/ - Park Lawn Corporation (TSX: PLC) (“PLC” or “Park Lawn”) is pleased to announce that it has completed the previously announced acquisition of all of the outstanding stock and membership interests of Family Legacy, LLC (“Family Legacy”), a business with 12 locations operating in the greater Nashville, Tennessee area, as well as all of the outstanding membership interests in WG-TN, LLC (“Harpeth Hills”), a large combination business located in Nashville, Tennessee. The acquisition excludes one stand-alone funeral home that Park Lawn initially intended to acquire from Family Legacy. As a result, the purchase price for Family Legacy has been proportionately reduced and, in the first full year of operations following closing, PLC management now expects Family Legacy and Harpeth Hills, on a combined basis, to generate approximately US$20.2 million of revenue and approximately US$5.5 million of EBITDA.
“We are excited to welcome the Family Legacy and Harpeth Hills businesses into the Park Lawn family. The completion of these acquisitions provides Park Lawn with the unique opportunity to enter the middle Tennessee market as the premier provider of funeral and cemetery services in the area,” stated Andrew Clark, Chairman and CEO of PLC.
About Park Lawn Corporation:
PLC provides goods and services associated with the disposition and memorialization of human remains. Products and services are sold on a pre-planned basis (pre-need) or at the time of a death (at-need). PLC and its subsidiaries own and operate businesses including cemeteries, crematoria, funeral homes, chapels, planning offices and a transfer service. PLC has a North American wide platform with operations in five Canadian provinces and fifteen U.S. States.
Cautionary Statement Regarding Forward-Looking Information
This news release may contain forward-looking statements (within the meaning of applicable-securities laws) relating to the business of PLC and the environment in which it operates. Forward-looking statements are identified by words such as “believe”, “anticipate”, “project”, “expect”, “intend”, “plan”, “will”, “may”, “estimate”, “pro-forma” and other similar expressions. These statements are based on PLC’s expectations, estimates, forecasts and projections and include, without limitation, statements regarding expected revenues, expected EBITDA and the impact of the acquisition on PLC’s business. The forward-looking statements in this news release are based on certain assumptions, including that the acquired businesses will perform as expected, PLC will be able to implement business improvements and achieve cost savings, PLC will be able to retain key personnel, there will be no unexpected expenses occurring as a result of the acquisitions, and those regarding present and future business strategies, the environment in which PLC will operate in the future, expected revenues, expansion plans and PLC’s ability to achieve its goals. Forwardlooking statements are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements, including, but not limited to, the factors discussed under the heading “Risk Factors” in PLC’s Annual Information Form available at www.sedar.com. There can be no assurance that forward-looking statements will prove to be accurate as actual outcomes and results may differ materially from those expressed in these forward-looking statements. Readers, therefore, should not place undue reliance on any such forward-looking statements. Further, these forward-looking statements are made as of the date of this news release and, except as expressly required by applicable law, PLC assumes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
EBITDA is not a measure recognized under IFRS and does not have a standardized meaning prescribed by IFRS. Such measure is presented in this news release because PLC management believes that such measure is relevant in interpreting the effect of the acquisitions on PLC. Such measure, as computed by PLC, may differ from similar computations as reported by other similar organizations and, accordingly, may not be comparable to similar measures reported by such other organizations. Please see PLC’s most recent management discussion and analysis for how the Company reconciles such measure to the nearest IFRS measure.
Chairman & Chief Executive Officer
Chief Financial Officer & Director