The World’s largest funeral corporation is trying to fund its purchase of Keystone(5th largest funeral corp) by selling “Notes”. This tact used by Hollinger International led by Conrad Black(now in a Canadian prison) has led many a company to it’s demise. The fact that Service Corporation International, SCI, NYSE:SCI, is having trouble funding this purchase shows that the World’s Largest Funeral Corporation Deep Pockets are gone.
It also is another sign of Funeral Industry decline.
"HOUSTON, Nov. 5 /PRNewswire-FirstCall/ -- Service Corporation
International
(NYSE: SCI) ("SCI"), which owns and operates funeral service
locations and
cemeteries, announced today that it has priced an
underwritten public offering
of $150.0 million of senior notes due 2021,
which will bear interest at a rate
of 8.00% per annum. The notes are being sold at
98.115% of par, which equates
to an effective yield to maturity of approximately 8.25%.
SCI expects to
close the sale of the notes on November 10, 2009,
subject to the satisfaction
of customary closing conditions.
SCI intends to use the net proceeds from the offering,
together with available
cash, to fund SCI's acquisition of Keystone North America Inc.
The offering is
being made under SCI's existing shelf registration
statement previously filed
with the Securities and Exchange Commission ("SEC")."
via www.reuters.com
Funeral Industry|Funeral Blog by Your Funeral Guy
Jane Bourke on 
tom gosse on 
on 
on 