News

Fort Lauderdale, Fla.-based investment banking firm Farlie Turner & Co. has announced that its Special Situations Group has completed the going concern sale of CCI, Inc. et. al, the largest TGI Friday’s franchisee in Florida,  under Section 363 of the Bankruptcy Code.  CCI has twelve restaurants in Florida and another five in New York. The company was purchased by a subsidiary of SRAC Holdings I, Inc. an affiliate of  private equity giant Cerberus Capital Management, L.P.
 
Since the start of the year, at least six dining chains have filed for bankruptcy protection including Buffets Holdings, Inc. and S&A Restaurant Corp., the parent company of Bennigan's and Steak & Ale restaurants.  

Distressed M&A expert Steven Zuckerman, head of Farlie Turner's Special Situations Group, which specializes in representing underperforming and financially distressed companies, doesn't see the outlook improving for the restaurant industry in the short term.

According to Zuckerman, “The current real estate meltdown has led to over $6 trillion in lost housing wealth and the evisceration of the American consumers’ piggy bank, their home equity.  This has caused a dramatic impact on discretionary spending, especially in sectors such as casual dining.  The effects of the housing crisis on the American consumer are being worsened by high fuel prices and rising food costs.  In light of these general economic pressures and the significant distress in the restaurant industry in particular, we were very pleased to complete a successful transaction with SRAC and sell the CCI entities as a going concern.”

The Special Situations Group complements Farlie Turner & Co.'s existing investment banking practice, which focuses on serving growth-oriented middle market companies with enterprise values typically between $30 and $300 million.

Farlie, Turner & Co., LLC, and its affiliate Bayshore Partners, LLC, a broker-dealer registered with the FINRA, provide merger and acquisition, private placement, and financial advisory services.  Visit www.farlieturner.com for more information.