HOUSTON, Jan. 17, 2017 /PRNewswire/ -- RCI
Hospitality Holdings, Inc. (Nasdaq: RICK) today announced the sale
of the first of several non-income producing properties owned by
subsidiaries.
RCI said a subsidiary closed on the sale of the property off US
820 in Fort Worth for $2.2 million in cash. The price was in the range
of expected value. Proceeds were used to pay off the remaining
$1.5 million balance of a related 11%
balloon note, due in 2018, and related fees. Balance of the
proceeds will be used to repurchase stock, fund growth, or repay
debt.
"Today's news represents the first concrete results of another
process we have initiated to free up capital and continue to
improve cash flow," said Eric
Langan, President and CEO. "We currently estimate the
planned sale of our seven other non-income producing properties
could approximate $10 million in
total proceeds."
About RCI Hospitality Holdings, Inc. (Nasdaq: RICK)
With 41 units, RCI Hospitality Holdings, Inc., through its
subsidiaries, is the country's leading company in gentlemen's clubs
and sports bars/restaurants. Clubs in New
York City, Miami,
Philadelphia, Charlotte, Dallas/Ft. Worth, Houston, Minneapolis and other cities operate under
brand names, such as "Rick's Cabaret," "XTC," "Club Onyx," "Vivid
Cabaret," "Jaguars" and "Tootsie's Cabaret." Sports
bars/restaurants operate under the brand name "Bombshells." Please
visit http://www.rcihospitality.com/
Forward-Looking Statements
This press release may contain forward-looking statements that
involve a number of risks and uncertainties that could cause the
company's actual results to differ materially from those indicated
in this press release, including the risks and uncertainties
associated with operating and managing an adult business, the
business climates in cities where it operates, the success or lack
thereof in launching and building the company's businesses, risks
and uncertainties related to cybersecurity, conditions relevant to
real estate transactions, and numerous other factors such as laws
governing the operation of adult entertainment businesses,
competition and dependence on key personnel. The company has no
obligation to update or revise the forward-looking statements to
reflect the occurrence of future events or circumstances.
Media & Investor Contacts
Gary Fishman and Steven Anreder at 212-532-3232 or
gary.fishman@anreder.com and steven.anreder@anreder.com
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SOURCE RCI Hospitality Holdings, Inc.