MONTREAL, Feb. 24, 2021 /CNW/ - Foodtastic Inc.
("Foodtastic") is pleased to announce that it has secured a
$50 million investment from
Restaurant Royalty Partners ("RRP"), a joint venture between funds
managed by Oaktree Capital Management, L.P. ("Oaktree"), majority
owned by Brookfield Asset Management Inc. (TSX:
BAM.A), and JHR Capital LLC ("JHR Capital"). This capital is
in addition to the $47 million RRP
committed to Foodtastic in 2018.
Foodtastic's balance sheet is unleveraged and the company
intends to raise debt financing to complement the $50 million of new RRP equity capital. Foodtastic
will use these funds to continue the acquisition program that
Foodtastic and RRP have successfully executed over the past two
years.
Peter Mammas, President and Chief Executive Officer of
Foodtastic, said, "Our partnership with RRP has allowed Foodtatsic
to make 10 acquisitions, including such well know brands as,
Rotisserie Benny and Monza. These new funds allow us to continue
our acquisition strategy"
In addition, Foodtastic will continue to execute its asset-light
organic growth plan. The company's franchisees plan to open 90 new
restaurants over the next 30 months.
Patrick McCaney, Managing
Director and Portfolio Manager for Oaktree, said, "Peter and his
team at Foodtastic have a strong track record of value creation.
They have built a high-quality business and we look forward to
continuing to support the next stage of the company's growth."
Jordan Rubin, Managing Member for
JHR Capital, said, "We are very excited about the future of
Foodtastic. We believe our brands have great potential and are
confident that management will continue to grow the company
organically and will find quality restaurant concepts to
acquire."
About Foodtastic
Foodtastic is a Quebec-based
franchisor of multiple restaurant concepts including, La Belle et
La Boeuf, Carlos & Pepe's, Souvlaki Bar, Nickels, and Bacaro.
Foodtastic is a leader in the restaurant franchising business in
Quebec with over 130 restaurants
and $240 million in annualised
sales.
SOURCE Foodtastic