FirstService Adds to California Closets Company-Owned Operations

Rhea-AI Summary

FirstService Corporation (FSV) announced the acquisition of its Minneapolis franchise, expanding the California Closets company-owned operations to 20 out of 80 total franchises. The acquisition is part of a strategy to grow in key markets, with expectations to enhance growth in the Midwest by migrating production to a centralized manufacturing center. FirstService generates approximately $2.8 billion in annual revenues and employs around 24,000 people across North America.

Positive

• Acquisition of Minneapolis franchise expands California Closets operations to 20 company-owned locations.
• Strategic move to enhance growth in a major Midwest market.
• Migrating production to a centralized facility may improve efficiencies.

Negative

• None.

Acquires California Closets Minneapolis

TORONTO, March 09, 2021 (GLOBE NEWSWIRE) -- FirstService Corporation (TSX and NASDAQ: FSV) (“FirstService”) announced today that it has further expanded its California Closets company-owned operations with the acquisition of its Minneapolis franchise. With this transaction, California Closets now has 20 company-owned operations among its 80 total franchised territories. Terms of the transaction were not disclosed.

“The addition of Minneapolis is an important move in advancing our strategy of acquiring California Closets franchises in key markets,” said Charlie Chase, President & CEO of California Closets. “As a company-owned operation, we expect to accelerate our growth in one of the largest metropolitan areas in the Midwest U.S. and capitalize on migrating production to our centralized eastern manufacturing center,” he concluded.

About FirstService Corporation

FirstService Corporation is a North American leader in the essential outsourced property services sector, serving its customers through two industry-leading service platforms: FirstService Residential, North America's largest manager of residential communities; and FirstService Brands, one of North America's largest providers of essential property services delivered through individually branded franchise systems and company-owned operations.

FirstService generates approximately $2.8 billion in annual revenues and has approximately 24,000 employees across North America. With significant insider ownership and an experienced management team, FirstService has a long-term track record of creating value and superior returns for shareholders. The Common Shares of FirstService trade on the NASDAQ and the Toronto Stock Exchange under the symbol "FSV". 

For the latest news from FirstService Corporation, visit www.FirstService.com

FORWARD-LOOKING STATEMENTS

This news release contains forward-looking information and forward-looking statements within the meaning of applicable Canadian and U.S. securities laws. Much of this information can be identified by words such as “expect to,” “expected,” “will,” “estimated” or similar expressions suggesting future outcomes or events. FirstService believes the expectations reflected in such forward-looking information and statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking information and statements should not be unduly relied upon. Forward-looking information and statements are based on current information and expectations that involve a number of risks and uncertainties, which could cause actual results or events to differ materially from those anticipated. These risks include, but are not limited to, the risks related to FirstService’s business, including those identified in FirstService’s annual information form for the year ended December 31, 2020 under the heading “Risk factors” (a copy of which may be obtained at www.sedar.com or as part of FirstService’s Form 40-F at www.sec.gov). Forward-looking information and statements contained in this news release are made as of the date hereof and are subject to change. All forward-looking information and statements in this news release are qualified by these cautionary statements. Except as required by applicable law, FirstService undertakes no obligation to update any forward-looking information and statement, whether as a result of new information, future events or otherwise.

COMPANY CONTACT:

Jeremy Rakusin
CFO
FirstService Corporation
(416) 960-9566

FAQ

What is the recent acquisition by FirstService Corporation (FSV)?

FirstService Corporation announced the acquisition of its Minneapolis franchise for California Closets, expanding its company-owned operations.

How many company-owned California Closets operations does FirstService have after the acquisition?

After the acquisition, FirstService now has 20 company-owned California Closets operations.

What is FirstService Corporation's revenue?

FirstService generates approximately $2.8 billion in annual revenues.

How many employees does FirstService Corporation have?

FirstService has approximately 24,000 employees across North America.

What is the significance of the Minneapolis acquisition for FirstService (FSV)?

The acquisition is significant as it strengthens FirstService's presence in key markets and aims to accelerate growth in the Midwest.