Service Corp. Calls Off Loewen Takeover

Service Corp. International, the world’s largest funeral home operator, called off its hostile attempt to acquire rival Loewen Group, saying Loewen’s rapid expansion made a purchase too risky. Saying it wanted to remain independent, Loewen twice rejected offers from Houston-based Service Corp., which sweetened its bid to about $2.7 billion in October. Service Corp. had said it would take the offer directly to Loewen shareholders. Loewen, based in Burnaby, Canada, also sued Service Corp., claiming the proposed deal would crush competition in the U.S. funeral home industry. A combination would have created a company with about 3,750 funeral homes and 600 cemeteries worldwide. Service Corp. said Loewen’s deals to buy the Rose Hills Memorial Park in California and Prime Succession Inc., the largest privately owned funeral home operator in North America, were too risky.