Meritage Reports Acquisition of Wendy’s Restaurants
Aug 16, 2011
OTC Disclosure News Service
Grand Rapids, MI – Meritage Hospitality Group, Inc. (OTCQX: MHGU), North America’s premier franchise operator, today announced it has closed on the acquisition of two additional Wendy’s restaurants located in the greater Jacksonville, Florida designated market area.
Meritage continues to invest in the long-term fundamentals of the Wendy’s restaurant brand and remains committed to the expansion of its web-based restaurant operating platform. The Company now owns and operates Wendy’s restaurants in three North American markets: Atlanta, Georgia; Grand Rapids, Michigan; and Jacksonville, Florida.
“The expansion, reimaging and modernization of Wendy’s restaurants remain a hallmark of our growth strategy. We welcome the more than 80 new employees to the Meritage family,” stated Robert E. Schermer, Jr., CEO of Meritage Hospitality Group, Inc.
The Company plans to implement major capital improvements in the Wendy’s locations, including the installation of the Company’s comprehensive restaurant back-of-house operating and accounting systems. The newly acquired Wendy’s restaurants will add approximately $2.6 million in annual sales and are forecasted to be accretive to earnings, after closing costs, in the first full year of operations.
Meritage Hospitality now owns and operates 89 restaurants in North America and remains focused on executing a five year plan that targets significant expansion in its core restaurant operating platform in existing and new designated market areas. Headquartered in Grand Rapids, Michigan, Meritage operates with approximately 2,670 employees.
The Company is listed on the OTC Markets under the stock symbol MHGU.
SAFE HARBOR STATEMENT
Certain information in this news 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 www.meritagehospitality.com.
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