GRAND RAPIDS, Mich., Oct. 21, 2016 (GLOBE NEWSWIRE) -- Meritage Hospitality Group, Inc. (OTCQX:MHGU), one of the nation’s premier restaurant operators, today announced that the Company has closed on a new $97.0 million credit facility in a syndication led by City National Bank.
“This new credit facility will save the Company approximately $1.0 million annually in interest expense and significantly increase our renovation and new build restaurant development capacity with an increased flexible development line of credit. The syndication partners have also provided Meritage an accordion feature for future Wendy’s acquisitions. We consider ourselves in the early stages of a major Wendy’s consolidation and investment cycle driven by acquisitions, restaurant renovations and new development. This new facility will greatly assist us in achieving continued profitable growth,” stated Meritage CEO, Robert Schermer, Jr.
Meritage earlier announced it has embarked on a new five-year business plan for 2017-2021, which management believes will result in continued significant sales and earnings growth over the next five years. The Company reported third quarter strong sales and earnings growth related to its reimaging campaign, acquisitions and newly opened locations.
Meritage Hospitality Group is one of the nation’s premier restaurant operators, with 183 restaurants in operation located in Florida, Georgia, Michigan, North Carolina, South Carolina, Ohio, Oklahoma and Virginia. Meritage is headquartered in Grand Rapids, Michigan, operating with a growing workforce of approximately 6,300 employees. The Company’s public filings can be viewed at www.otcqx.com, under the stock symbol MHGU, or the Company’s website www.meritagehospitality.com.
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 http://www.meritagehospitality.com.