Bullboard - Stock Discussion Forum Park Lawn Corp T.PLC

Consumer Cyclical Personal Services

Park Lawn Corporation is engaged in providing goods and services associated with the disposition and memorialization of human remains. The Company and its subsidiaries own and operate businesses, including cemeteries, crematoria, funeral homes, chapels, planning offices and a transfer service. Its primary products and services are cemetery lots, crypts, niches, monuments, caskets, urns and... see more

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TSX:PLC - Post Discussion

Park Lawn Corp > CIBC

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Post by retiredcf on Oct 06, 2022 8:06am

CIBC

EQUITY RESEARCH
October 5, 2022 Flash Research
PARK LAWN CORPORATION LIMITED

Hitting The Slope In Colorado

PLC announced the on-strategy acquisitions of six assets among three
operators located in Colorado’s Western Slope. The region is west of the
Continental Divide, covering a large area several hundred miles west and
southwest of the Denver market, which PLC already serves with eleven
funeral homes and two cemeteries. The Western Slope acquisitions are
small, adding a total of ~US$1.6MM of annualized adjusted EBITDA with a total deal value that we estimate at US$10MM-US$13MM. Funding is
expected to come from PLC’s credit facilities and cash on hand. Properties are: 1) Ertel Funeral Home & Crematory, consisting of one funeral home (transaction completed); 2) Taylor Funeral Home, consisting of three funeral homes and one combo funeral home/cemetery (expected closing early November); and 3) Brown’s Cremation & Funeral Service, consisting of one funeral home (expected closing early November). We already include acquisitions in our estimates; our C$36.00 price target and Outperformer rating are unchanged.

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