Purchase Follows Sale of BrightView Tree Company
BrightView Holdings, Inc. (NYSE: BV) ("BrightView"), the leading commercial landscaping services company in the United States, today announced the acquisition of Commercial Tree Care, Inc. (CTC), a full-service tree care company based in San Jose, Calif. The purchase of CTC followed the sale of BrightView Tree Company to Devil Mountain Nursery of San Ramon, Calif. Terms of the transactions were not disclosed.
Founded in 1992, CTC is a full-service tree care provider specializing in pruning, tree removal, stump grinding, cabling, bracing, fertility treatment, pest and disease control, install and transplant, forestry fire fighting and timber harvesting. The company also consults for development, appraisal, maintenance plans and overall site evaluation.
"The acquisition of Commercial Tree strengthens BrightView’s Maintenance operations in Northern California and positions us to be the foremost tree care service provider in the San Francisco Bay Area," said President and CEO Andrew Masterman. "The acquisition of CTC followed the sale of BrightView Tree Company, a tree nursery division that typically generated between $25 million and $30 million in revenue. Redeploying assets from our Development segment to our Maintenance segment is consistent with our overall strategic growth plan."
CTC President Todd Huffman said, "I believe that Commercial Tree Care shares much in common with BrightView and this transaction provides a solid foundation in which to continue our growth in the greater Bay Area. Jointly, we look to leverage strong safety practices, state-of-the art equipment and our talented teams to continue to serve our client base. My team and I are excited about the opportunities that lie ahead."
Huffman, along with his senior leadership team, will remain with BrightView and continue to run the day-to-day operation of the business.
BrightView is the largest provider of commercial landscaping services in the United States. Through its team of approximately 21,500 employees, BrightView provides services ranging from landscape maintenance and enhancements to tree care and landscape development for thousands of customers’ properties, including corporate and commercial properties, HOAs, public parks, hotels and resorts, hospitals and other healthcare facilities, educational institutions, restaurants and retail, and golf courses, among others. BrightView is the Official Field Consultant to Major League Baseball.
This press release may include forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements include, but are not limited to, statements related to our expectations regarding results of operations from companies we acquire and other financial and operating information. You can identify these forward-looking statements by the use of words such as "believes," "guidance," "target," "expects," "potential," "continues," "estimates," "anticipates" or the negative version of these words or other comparable words. Such forward-looking statements are subject to various risks, uncertainties and factors, including the following: BrightView may not be able to achieve the anticipated benefits of the acquisition transaction, including revenue, growth and synergistic opportunities; BrightView may be unable to successfully implement integration strategies; results of operations may be lower than expected; operating costs, customer loss, and business disruption may be greater than expected; and BrightView may assume unexpected risks and liabilities. Additional factors that could cause BrightView’s results to differ materially from those described in the forward-looking statements can be found under "Item 1A. Risk Factors" in our Form 10-K for the fiscal year ended September 30, 2019, as such factors may be updated from time to time in our periodic filings with the Securities and Exchange Commission, which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this release and in our filings with the SEC. Any forward-looking statement made in this press release speaks only as of the date on which it was made. We undertake no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law.
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Fred Jacobs, VP of Communications & Public Affairs
John Shave, VP of Investor Relations