FOR: FIRSTSERVICE CORPORATION
President & Chief Executive Officer
John B. Friedrichsen
FOR IMMEDIATE RELEASE
FIRSTSERVICE COMPLETES FIVE TUCK-UNDER ACQUISITIONS
TORONTO, Ontario (December 15, 1999) -- FirstService Corporation today announced five tuck-under acquisitions adding about $9.5 million in annual revenue.
In its Community Association Management division, North America's largest, FirstService has reached agreement on four tuck-under acquisitions adding a total of $6.0 million in annual revenue and increasing the number of residential units under management to more than 325,000 in eleven US States.
Through The Wentworth Group, its platform company in the mid-Atlantic region, FirstService has agreed to acquire two property management companies in its' existing markets, adding over 30 communities and more than 7,000 residential units to its portfolio.
Through The Continental Group, its platform company in Florida, FirstService acquired a Dade County based property services company to strengthen its property maintenance division and to further support the cross selling of maintenance services to its existing customer base.
In addition, through American Pool Enterprises, Inc., FirstService agreed to acquire a leading commercial swimming pool service company based in southern New Jersey, expanding its presence into a new geographic region and increasing the number of commercial swimming pools under management to more than 1,400. American Pool Enterprises was acquired by FirstService in June, 1999 and is the largest commercial swimming pool and recreational services company in North America.
And through its' Intercon Security division, FirstService acquired Edge Security Technologies Corporation. Edge Security, a leading provider of security systems to large corporations and government agencies, provides Intercon with a significant beach head in the New York through Philadelphia region. Significant clients include Merrill Lynch, AT&T, Time Warner and the Federal Reserve Bank of Philadelphia. Edge Security generates revenues of about $3.5 million annually.
"These acquisitions are highly complementary to our existing property management and security operations, and reflect the continued execution of our successful growth strategy," said Jay S. Hennick, President and Chief Executive Officer. "All contribute strong management teams and well-established recurring revenue service businesses to our existing operations", he added.
FirstService Corporation is a leader in the rapidly growing service sector, providing a variety of specialized Property and Business Services to corporate, government and residential customers throughout North America including community association management, security, lawn care, franchising, business outsourcing and specialized trade material fulfillment. Further information on FirstService can be obtained from our website www.firstservice.com.
Certain statements included in this release constitute "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 (the "Reform Act"). Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the following: general economic and business conditions, which will, among other things, impact demand for the Company's services, service industry conditions and capacity; the ability of the Company to implement its business strategy, including the Company's ability to acquire suitable acquisition candidates on acceptable terms and successfully integrate newly acquired businesses with its existing businesses; changes in or the failure to comply with government regulations (especially safety and environmental laws and regulations); and other factors which are described in the Company's filings with the Securities and Exchange Commission.