StoneMor Partners L.P. Announces Closing of Acquisition of Funeral Homes & Cemeteries From Service Corporation International
June 10 2014 - 4:28PM
StoneMor Partners L.P. (NYSE:STON) announced today that it has
closed the previously announced purchase of 9 funeral homes, 12
cemeteries and 2 crematories from Service Corporation International
(NYSE:SCI). StoneMor paid approximately $53.8 million in cash for
the properties which are located in Central Florida, North
Carolina, Southeastern Pennsylvania and Virginia. The cemeteries
included in the transaction perform approximately 3,500 interments
per year and the funeral homes perform approximately 1,900 annual
calls. The combined properties generated approximately $25.3
million in revenue in 2012 and are expected to be immediately cash
accretive.
"This is a terrific transaction for StoneMor," said Larry
Miller, President and Chief Executive Officer of StoneMor. "The
properties complement our existing operations and the accretive
nature of the transaction adds immediate value for our unit
holders. Combined with our recently closed agreement with the
Archdiocese of Philadelphia to manage 13 Catholic cemeteries, we
have made some significant additions to our portfolio of cemetery
and funeral home holdings in 2014. We look forward to the
contributions of these properties to our financial
performance."
About StoneMor Partners L.P.
StoneMor Partners L.P., headquartered in Levittown,
Pennsylvania, is an owner and operator of cemeteries and funeral
homes in the United States, with 303 cemeteries and 99 funeral
homes in 28 states and Puerto Rico. StoneMor is the only publicly
traded death care company structured as a
partnership. StoneMor's cemetery products and services, which
are sold on both a pre-need (before death) and at-need (at death)
basis, include: burial lots, lawn and mausoleum crypts, burial
vaults, caskets, memorials, and all services which provide for the
installation of this merchandise.
Forward-Looking Statements
Certain statements contained in this press release,
including, but not limited to, information regarding the status and
progress of StoneMor's operating activities, the plans and
objectives of its management, assumptions regarding its future
performance and plans, and any financial guidance provided, as well
as certain information in other filings with the Securities and
Exchange Commission and elsewhere, are forward-looking
statements. The words "believe," "may," "will," "estimate,"
"continue," "anticipate," "intend," "project," "expect," "predict,"
and similar expressions identify these forward-looking
statements. These forward-looking statements are made subject
to certain risks and uncertainties that could cause StoneMor's
actual results of operations to differ materially from those
expressed or implied by forward-looking statements, including, but
not limited to, the following: uncertainties associated with
future revenue and revenue growth; the effect of economic
downturns; the impact of StoneMor's significant leverage on its
operating plans; StoneMor's ability to service its debt and pay
distributions; the decline in the fair value of certain equity and
debt securities held in its trusts; StoneMor's ability to attract,
train and retain an adequate number of sales people; uncertainties
associated with the volume and timing of pre-need sales of cemetery
services and products; increased use of cremation; changes in the
death rate; changes in the political or regulatory environments,
including potential changes in tax accounting and trusting
policies; StoneMor's ability to successfully implement a strategic
plan relating to achieving operating improvements, strong cash
flows and further deleveraging; StoneMor's ability to successfully
compete in the cemetery and funeral home industry; uncertainties
associated with the integration or anticipated benefits of
StoneMor's recent acquisitions and any future acquisitions;
StoneMor's ability to complete and fund additional acquisitions;
litigation or legal proceedings that could expose StoneMor to
significant liabilities and damage its reputation; the effects of
cyber security attacks due to StoneMor's significant reliance on
information technology; uncertainties relating to the financial
condition of third-party insurance companies that fund StoneMor's
pre-need funeral contracts; and various other uncertainties
associated with the death care industry and StoneMor's operations
in particular.
When considering forward-looking statements, the reader should
keep in mind the risk factors and other cautionary statements set
forth in StoneMor's Annual Report on Form 10-K filed with the
Securities and Exchange Commission. Except as required by federal
and state securities laws, StoneMor assumes no obligation to update
or revise any forward-looking statements made herein or any other
forward-looking statements made by StoneMor, whether as a result of
new information, future events, or otherwise.
CONTACT: John McNamara
215-826-2800
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