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GRAND RAPIDS, Mich., Sept. 11, 2019 (GLOBE NEWSWIRE) -- Meritage Hospitality Group Inc. (OTCQX: MHGU), one of the nation’s premier franchise restaurant operators, announced today that it has acquired five additional Wendy’s restaurants located in the Odessa/Midland, Texas designated market area.
“The acquisition of the five Odessa/Midland area restaurants is consistent with our previously announced 5-year growth plans to expand our operating base to 400 Wendy’s restaurants. We intend to immediately integrate each of the acquired restaurants into our operating and accounting platforms and fold them into our Wendy’s remodeling program that is designed to modernize the restaurants and enhance the overall guest experience,” stated Chief Executive Officer, Robert Schermer, Jr. The Company expects the five additional restaurants to add approximately $9.1 million in annual sales and be accretive to earnings going forward.
The Company continues to be a leader of new restaurant development within the Wendy’s system, as supported by the recent announcement of its commitment to build an additional 40 Wendy’s restaurants by 2024 under the new Development Agreement. The Company is on pace for a record number of new restaurants in 2019 and 2020 to be built across its 16 states of operation.
“During 2019, the Company declared common stock cash dividends of $.18 per share representing an increase of 100% over the same period last year and solid EBITDA growth of 31%. Wendy’s acquisitions, renovations and new restaurant development are all important components of our business model, as we expand and build,” added Schermer.
Company 2019 Outlook: Sales & Earnings Growth
Looking Ahead: 2020
We are forecasting strong sales and earnings growth in 2020, driven by newly developed, reimaged and acquired Wendy’s restaurants coming on-line during the year. In addition, the Company recently announced plans to develop 35 Morning Belle restaurants in the premium breakfast-brunch segment.
The Company continues to distinguish itself as a leader and innovator in the restaurant industry, striving for best in class results through a performance based culture committed to operational excellence, strategic acquisitions and real estate development.
Meritage Hospitality Group is one of the nation’s premier franchise operators, with 326 restaurants in operation located in Arkansas, Connecticut, Florida, Georgia, Indiana, Massachusetts, Michigan, Missouri, Mississippi, North Carolina, South Carolina, Ohio, Oklahoma, Tennessee, Texas and Virginia. Meritage is headquartered in Grand Rapids, Michigan, operating with a growing workforce of approximately 10,000 employees. The Company’s public filings can be viewed at www.otcmarkets.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.
Robert E. Schermer, Jr., CEO
Meritage Hospitality Group Inc.