GRAND RAPIDS, Mich., July 29, 2015 (GLOBE NEWSWIRE) -- Meritage Hospitality Group Inc. (OTCQX:MHGU), one of the nation’s premier restaurant operators, announced it has completed the acquisition of 15 Wendy’s restaurants located in Toledo, OH.
The Wendy’s restaurants were acquired from a Wendy’s franchisee and are semi-contiguous to the Company’s existing Wendy’s operations extending down the I-75 corridor from Michigan to Florida. Commenting on the acquisition Robert E. Schermer, Jr. CEO stated, “This transaction represents an important building-block in our stated growth strategy to create long-term shareholder value through new restaurant development and consolidation within the Wendy’s franchise system.”
The Company estimates the acquisition will add approximately $19.0 million in annual sales and be accretive to consolidated earnings and EBITDA going forward.
The Company plans to install POS upgrades and transition the back-of-house systems over to the Meritage operating and accounting system protocol. The Wendy’s restaurant system is going through a major brand re-imaging and new building design termed “image activation” with the goal of having 60% of the system renovated by the end of 2020. Image activation includes major interior and exterior restaurant upgrades aimed at creating “A Cut-Above” guest experience.
Meritage has completed 14 acquisitions within the Wendy’s franchise system and continues to build new restaurants and make significant investments into existing company restaurants. The Company owns and operates a total of 167 quick service and casual dining restaurants in the United States operating in Florida, Georgia, Michigan, North and South Carolina, Ohio and Virginia.
Headquartered in Grand Rapids, MI the Company employs a growing workforce of approximately 4,500 people. The Company’s public filings can be viewed at www.otcqx.com under the stock symbol MHGU, or at the Company’s website, www.meritagehospitality.com.
SAFE HARBOR STATEMENT
Certain information in this new release, particularly information regarding future economic performance and finances, and plans, expectations and objectives of management, constitutes forward-looking statements. Factors set forth in our Safe Harbor Statement, in addition to other possible factors not listed, could affect the Company’s actual results and cause such results to differ materially from those expressed in forward-looking statements. Please review the Company’s Safe Harbor Statement at http://www.meritagehospitality.com
CONTACT: Robert E. Schermer, Jr. CEO 616-776-2600 Ext. 1012
Source:Meritage Hospitality Group, Inc.