HOUSTON, Texas, Dec. 23, 2013 /PRNewswire/ -- Service Corporation International (NYSE: SCI) announced that today it has completed its acquisition of Stewart Enterprises, Inc. (Nasdaq GS: STEI). Under the terms of the merger agreement, each outstanding share of Stewarts' common stock has been converted into the right to receive $13.25 in cash. As a result of the acquisition, the common stock of Stewart will cease to be publicly traded and will no longer be listed on the Nasdaq Stock Market.
"This is an exciting day for our company and the work we have done over the past several months positions us well to successfully integrate the two companies," said Tom Ryan, President and Chief Executive Officer. "I would like to welcome the Stewart employees and thank the employees of both companies for their dedication and professionalism during this transition period," continued Mr. Ryan. "Together, as we look to the future by focusing on continuous operating improvement while enhancing our customer experience and deploying capital responsibly, we believe that we can continue to create value for our customers and our shareholders."
The acquisition was completed following SCI's agreement with the U.S. Federal Trade Commission (the "FTC") to the entry of a consent decree and an Order to Hold Separate and Maintain Assets which has been accepted by the FTC for public comment. The consent decree requires SCI to divest certain Stewart and SCI assets. These assets include 91 locations with 2012 EBITDA of approximately $53 million. SCI has commenced discussions with potential buyers and expects to complete all divestitures within the six month time period required by the consent decree. Buyer interest in the divestiture assets continues to be robust.
Mr. Ryan concluded, "We are pleased to have reached a mutually satisfactory agreement with the FTC that permitted us to complete this highly beneficial transaction for SCI and its shareholders."