New CEO search underway as Chairman and CEO
Andrew Clark moves on to next career
challenge
Company well-positioned for new phase of
growth; reaffirms growth targets and expresses confidence in
management team
TORONTO, Feb. 18, 2020 /CNW/ - Park Lawn Corporation (TSX:
PLC) ("PLC" or "Park Lawn") announces Andrew Clark has advised the board of directors
(the "Board") that he will be stepping down as Chairman and CEO of
PLC. Until a new CEO is appointed, Mr. Clark will continue as
CEO and work closely with the Board and management to ensure a
smooth transition. Paul G. Smith,
who has been a director of PLC for three years, will assume the
role of Chairman effective today.
"It has been a tremendous privilege to lead PLC and build a
strong and highly capable management team over the last eight
years. I am grateful to have led a team that transformed PLC
from a small business with six cemeteries into one of the largest
and most well-respected operators in our industry. I remain
confident in PLC's future, believe that new leadership will benefit
PLC through its next growth phase, and look forward to
participating in its continued success as a shareholder. I know PLC
is optimally positioned to continue to deliver long-term growth and
drive shareholder value," stated Andrew
Clark, CEO of PLC.
"Andrew has been instrumental in putting together a deep and
talented management team and taking PLC from a market cap of
$30 million to almost $900 million in under seven years. Under Andrew's
leadership, PLC delivered a total shareholder return of 337%.
On behalf of the entire Board, I want to thank Andrew for his
passion, commitment to and leadership of PLC," said Paul G. Smith, new Chairman of the
Board. "Andrew will work closely with PLC's team to ensure a
smooth transition that will continue our strategic
course."
Park Lawn's board has engaged
Egon Zehnder, a leading global
search firm, to identify Mr. Clark's successor with the skill set
necessary to ensure PLC's current growth trajectory remains on
track.
PLC reaffirms its aspirational growth target of achieving pro
forma Adjusted EBITDA of $100 million
by the end of 2022 and its commitment to the continued, consistent
execution of its growth strategy via a combination of organic
growth, margin expansion and continued acquisition
activity.
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.
Non‐IFRS Measures
Adjusted 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 management of PLC believes
that such measure is relevant in evaluating PLC's operating
performance. 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's Discussion and Analysis for how PLC reconciles
Adjusted EBITDA to the nearest IFRS measure.
Cautionary Statement Regarding Forward‐Looking
Information
This news release contains 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 Park Lawn's continued success, the growth
targets that PLC aspires to achieve by the end of 2022 and the
execution of its growth strategy.
The forward-looking statements in this news release are based on
certain assumptions, including those set out under the heading
"Outlook" in PLC's management's discussion and analysis for the
second quarter of 2018 (filed on SEDAR on August 14, 2018), as well as that acquisition
multiples remain at or below levels paid by PLC for previously
announced acquisitions, the CAD to USD exchange rate remains
consistent, the acquisition and financing markets remain
accessible, capital can be obtained at reasonable costs and PLC's
current business lines operate and obtain synergies as expected, as
well as those regarding present and future business strategies, the
environment in which the Company will operate in the future,
expected revenues, expansion plans and the Company's ability to
achieve its goals.
Forward-looking 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.
SOURCE Park Lawn Corporation