Laval, Quebec, February 13, 2017– Savaria Corporation (TSX: SIS) (“Savaria”), one of North America’s leaders in the accessibility industry, is pleased to report the successful completion of its previously announced acquisition of all the assets of Premier Lifts, Inc. (“Premier Lifts”), a leading elevator dealer in the Baltimore – Washington area, for a purchase price of approximately US $3.5 million (CDN $4.6 million).
Savaria, which has secured employment from all of Premier Lifts’ employees, will continue operating under the tradename “Premier Lifts”. This acquisition extends Savaria’s presence in the Mid-Atlantic region of the United States and is expected to deliver net sales of approximately US $4 million (CDN $5.2 million) and earnings before interest, income taxes, depreciation and amortization (EBITDA) of approximately US $500,000 (CDN $655,000) annually.
“I believe that the acquisition of Premier Lifts will provide additional opportunity to its employees and customers alike as well as provide Savaria with a platform to continue to drive growth,” said Marcel Bourassa, Chief Executive Officer and President of Savaria.
Premier Lifts, Inc. (premierlifts.com) sells, installs and services a full range of elevator and lift products within Maryland, Washington, D.C. and Virginia from its offices located in Timonium, a suburb of Baltimore, Maryland. The company has been very active with major home builders in the area in offering new homes that feature a Savaria elevator. The company also successfully installs and services Savaria commercial accessibility lifts throughout the region.
Savaria Corporation (savaria.com) is one of North America’s leaders in the accessibility industry. It provides accessibility solutions for the elderly and physically challenged to increase their mobility and independence. The diversity of its product line is one of the most comprehensive on the market. Savaria designs, manufactures, distributes and installs accessibility equipment, such as stairlifts for straight and curved stairs, vertical and inclined wheelchair lifts, as well as elevators for home and commercial use. In addition, it converts and adapts vehicles to be wheelchair accessible. It also operates a network of franchisees and corporate stores through which new and recycled accessibility equipment is sold and, in certain locations, vehicle conversions are performed. Savaria operates a plant located in Huizhou (China) which increases its competitive edge. Savaria records close to 60% of its revenue outside Canada, primarily in the United States. It operates a sales network of some 400 retailers and affiliates in North America and employs some 500 people. Its principal places of business are located in Laval (Quebec), Brampton (Ontario) and Huizhou (China).
Cautionary Notice Regarding Forward-Looking Statements
Certain information in this press release may constitute “forward-looking statements” regarding Savaria, including, without being limited thereto, understanding of the elements that might affect Savaria’s future, relating to its financial or operating performance, the completion of the acquisition of Premier Lifts and the terms thereof, the costs and schedule of future acquisitions, supplementary capital expenditure requirements and legislative matters. Most frequently, but not invariably, forward-looking statements are identified by the use of such terms as “plan”, “expect”, “should”, “could”, “budget”, “expected”, “estimated” “forecast”, “intend”, “anticipate”, “believe”, variants thereof (including negative variants) or statements that certain events, results or shares “could”, “should” or “will” occur or be achieved. Such statements involve known and unknown risks, uncertainties and other factors liable to cause Savaria’s actual results, performance or achievements to differ materially from those set forth in or underlying the forward-looking statements. Such factors notably include general, economic, competitive, political and social uncertainties. Although Savaria has attempted to identify the key elements liable to cause actual measures, events or results to differ from those described in the forward-looking statements, other factors could have an impact on the reality and produce unexpected results. The forward-looking statements contained herein are valid at the date of this press release. As there can be no assurance that these forward-looking statements will prove accurate, actual future results and events could differ materially from those anticipated therein. Accordingly, readers are strongly advised not to unduly rely on these forward-looking statements.
For further information:
Hélène Bernier, CPA, CA