STONEMOR INC. COMPLETES SALE OF OLIVET MEMORIAL PARK IN COLMA, CALIFORNIA
April 10 2020 - 8:44AM
StoneMor Inc. (NYSE: STON), a leading owner and
operator of cemeteries and funeral homes, today announced it has
completed the previously announced sale of the assets of Olivet
Memorial Park, Olivet Funeral and Cremation Services and Olivet
Memorial Park and Crematory (“Olivet”) located in Colma,
California, to Cypress Lawn Cemetery Association for a total net
purchase price of $41.4 million – $24.3 million in cash, subject to
certain additional adjustments, plus $17.1 million in assumption of
lot takedown obligations.
StoneMor previously announced that it had signed a separate
definitive agreement to sell the assets of its remaining California
locations to entities owned by John Yeatman and Guy Saxton for a
total purchase price of $7.1 million in cash, subject to certain
closing adjustments. The locations included in that transaction are
Melrose Abbey Memorial Park and Melrose Abbey Mortuary in Anaheim,
California, LaVerne Cemetery in LaVerne, California, Lodi Memorial
Park and Cemetery, Lodi Funeral Home and Rocha’s Mortuary, in Lodi,
California, Sierra View Memorial Park and Sierra View Mortuary in
Olivehurst, California, Sacramento Memorial Lawn and Sacramento
Funeral Home in Sacramento, California, and Oakmont Funeral and
Cremation Services in Vacaville, California. That transaction,
which is expected to result in a gain, is targeted to close,
subject to confirmatory due diligence and regulatory approvals, in
the next 60 days.
On January 3, 2020, StoneMor completed the sale of Oakmont
Memorial Park & Mortuary to Carriage Services, Inc. for $33
million in cash, subject to certain adjustments.
Per the indenture governing its Senior Secured PIK Toggle Notes
(“Senior Notes”), StoneMor will use the first $55 million of net
proceeds and 80% of the remaining portion of the net proceeds from
these sales to redeem a portion of the outstanding Senior Notes. As
of April 9, 2020, StoneMor has redeemed $51.8 million of the
outstanding Senior Notes through the divestiture program and other
asset sales.
About StoneMor Inc.
StoneMor Inc., headquartered in Trevose, Pennsylvania, is an
owner and operator of cemeteries and funeral homes in the United
States, with 320 cemeteries and 88 funeral homes in 27 states and
Puerto Rico.
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. For additional information about
StoneMor Inc., please visit StoneMor’s website, and the investors
section, at http://www.stonemor.com.
CONTACTInvestor RelationsStoneMor Inc.(215)
826-4438
Cautionary Note Regarding Forward-Looking
Statements
Certain statements contained in this press release, including,
but not limited to, information regarding the anticipated date for
the closing of the remaining California asset sale and plans for
additional senior note redemptions, are forward-looking statements.
Generally, the words “believe,” “may,” “will,” “estimate,”
“continue,” “anticipate,” “intend,” “project,” “expect,” “predict”
and similar expressions identify these forward-looking statements.
These statements are made pursuant to the safe harbor provisions of
the Private Securities Litigation Reform Act of 1995.
Forward-looking statements are based on management’s current
expectations and estimates. These statements are neither promises
nor guarantees and are made subject to certain risks and
uncertainties that could cause the actual timing of the closing of
the sale and the related redemption of senior notes to vary from
those stated or implied in this press release. StoneMor’s major
risks that may impact such timing are related to uncertainties
associated with current business and economic disruptions resulting
from the recent coronavirus pandemic.
When considering forward-looking statements, you should keep in
mind the risk factors and other cautionary statements set forth in
StoneMor’s Annual Report on Form 10-K and Quarterly
Reports on Form 10-Q and the other reports that StoneMor
files with the Securities and Exchange Commission, from time to
time. Except as required under applicable law, StoneMor assumes no
obligation to update or revise any forward-looking statements made
herein or any other forward-looking statements made by it, whether
as a result of new information, future events or otherwise.
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