FOR: FIRSTSERVICE CORPORATION
President & Chief Executive Officer
John B. Friedrichsen
FOR IMMEDIATE RELEASE
FIRSTSERVICE COMPLETES FIVE ACQUISITIONS
TORONTO, Ontario (July 20, 2000) -- FirstService Corporation today announced that it has completed five acquisitions adding more than US $20.0 million in annual revenue to its rapidly growing Property Services division.
In Management Services, FirstService completed four acquisitions increasing the total number of properties and residential units under management to more than 1,800 and 350,000, respectively, while expanding its breadth of services in existing markets.
In the Mid-Atlantic region, FirstService has acquired the residential property management operations of Argold Management ("Arco"), a leading residential property management company serving the New York City area. Arco adds a total of 200 properties and 25,000 residential units to FirstService and expands operations into the key New York City market.
In the Southeast, FirstService expanded its existing painting, concrete restoration, and plumbing operations through agreements to acquire two leading service businesses based in Broward County, Florida. This transaction expands FirstService's ability to cross-sell maintenance services to its managed communities in South Florida..
In the Southwest, FirstService acquired Poolman, Inc. the leading swimming pool management and service company in the Phoenix, Arizona marketplace, increasing cross-selling potential to the more than 120 communities managed by FirstService in the region.
In Security Services, FirstService acquired Security Services and Technologies ("SST"), a leading provider of electronic security systems and integration services to larger corporations and government agencies in the Pennsylvania/New Jersey region. Significant SST clients include AT&T, Sunoco, Wyeth Ayerst and several large financial institutions.
The acquired companies, in the aggregate, generated revenues and earnings before interest, taxes, depreciation, and amortization ("EBITDA") of over $20.0 and $2.6 million, respectively, for the year ended December 31, 1999.
"The four management services acquisitions are consistent with our overall strategy to expand the properties and units under management as well as the breadth of services we can offer to our customer base," said Jay S. Hennick, President and Chief Executive Officer of FirstService. "The addition of SST complements our October 1999 acquisition of New Jersey-based Edge Security, further strengthening our regional market position. Importantly, all five acquisitions bring strong management teams and well-established recurring revenue service businesses to our existing operations", he concluded.
FirstService Corporation is a leader in the rapidly growing service sector, providing a variety of property and business services--including management services, security services and consumer services as well as information processing and specialized trade material fulfillment--to a variety of customers throughout North America.