NASSAU, Bahamas, Jul 29, 2008 (BUSINESS WIRE) — Steiner Leisure Limited (STNR:steiner leisure ltd ord
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Steiner Leisure Limited today announced that it has entered into an agreement for the acquisition of the assets of Connecticut Center for Massage Therapy, Inc. (“CCMT”) through its Virginia Massage Therapy, Inc. subsidiary (“VMT”). CCMT operates a post-secondary massage therapy school with three campuses located in Connecticut and a total population of approximately 500 students.
This transaction, which is expected to be modestly accretive to earnings for 2008, has a purchase price of $4.2 million in cash, subject to certain post-closing adjustments.
Leonard Fluxman, President and Chief Executive Officer of Steiner Leisure Limited, said, “The acquisition of CCMT would further expand Steiner’s national presence in the post-secondary massage therapy school market. The combination of CCMT’s well-respected massage therapy programs with Steiner’s existing schools’ programs would provide an enhanced platform for us to seek growth in our student enrollments.”
Closing of the transaction, which is anticipated to take place on or before August 8, 2008, is subject to conditions similar to those in other transactions of this type. Absent satisfaction of those conditions, by that date, either side may terminate this transaction.
Steiner Leisure Limited is a worldwide provider of spa services. The Company’s operations include spas and salons on 133 cruise ships, and in 48 resort spas and two luxury day spas. Our cruise line and land-based resort customers include Carnival Cruise Lines, Caesars Entertainment, Celebrity Cruises, Crystal Cruises, Cunard/Seabourn Cruise Lines, Silversea Cruises, Hilton Hotels, Holland America Line, One&Only Resorts by Kerzner International, Marriott Hotels, Norwegian Cruise Lines, Princess Cruises and Royal Caribbean Cruises. Our Elemis Limited subsidiary manufactures its Elemis(R) brand products for use in our cruise ship and land-based spas. This top quality European line of beauty products is also distributed worldwide to exclusive hotels, salons, health clubs and destination spas. Elemis(R), as well as other Steiner products, including La Therapie(R), Ionithermie, and Steiner Hair Care, are available at http://www.timetospa.com.
Steiner Leisure owns and operates four post secondary schools (comprised of a total of 14 campuses) located in Miami, Orlando, Pompano Beach and Sarasota, Florida; Baltimore, Maryland; Charlottesville, Virginia; York, Pennsylvania; Salt Lake City and Lindon, Utah; Las Vegas, Nevada; Tempe and Phoenix, Arizona; and Westminster and Aurora, Colorado. Offering degree and non-degree programs in massage therapy and, in some cases, skin care, these schools train and qualify spa professionals for health and beauty positions within the Steiner family of companies or other industry entities.
Forward Looking Statements
The reference above to the anticipated closing date of the transaction described in this press release may be deemed to be a “forward looking statement” within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). That statement is subject to risks and uncertainties, among other things, relating to the conditions required to be met for the closing to occur including, among other things, the receipt of applicable regulatory approval. Other risks are described in our filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K for 2007.
The references above to the accretive nature of the transaction described in this press release, the expansion of our national presence in the post-secondary massage therapy school market and the enhancement of our student growth platform may be deemed “forward looking statements” within the meaning of the Securities Act and the Exchange Act. Those statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the statements. These risks and uncertainties include, but are not limited to, economic conditions in the United States; our ability to integrate the newly acquired schools into Steiner’s existing school operations; our ability to maintain training of our students in pace with the constantly changing demands of consumers in the spa and beauty services areas; the ability to enroll and retain students at rates historically applicable to the school being acquired as well as the ability to attract and retain sufficient numbers of faculty members with appropriate qualifications and experience; failure of our students to pay the portion of their education expenses not covered by financial aid programs; inability of prospective students to obtain financing for their tuition payments under federal student funds and programs; reductions in tuition pricing by other educational institutions that effect our current competitive condition and, relatedly, our ability to maintain and increase tuition rates that we might otherwise deem to be appropriate; weather conditions that could affect the ability of our schools to remain open at all times when they are scheduled to be open as well as other risks applicable to post-secondary schools as described in our periodic filings with the SEC referenced herein.
Undue reliance should not be placed on such forward looking statements as they speak only as of the date hereof. Additional information regarding these and other risks and uncertainties applicable to the above-referenced statements as well as our business in general is contained in our periodic filings with the SEC, including our Annual Report on Form 10-K for the year ended December 31, 2007.
Subject to any continuing obligations under applicable law, we expressly disclaim any obligation to disseminate, after the date hereof, any updates or revisions to any such forward-looking statements to reflect any change in expectations or events, conditions or circumstances on which any such statements are based.
SOURCE: Steiner Leisure Limited
Steiner Leisure Limited
Leonard I. Fluxman, President and CEO
305-358-9002, Ext. 215
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